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Amissibility and Common Belief

  • Asheim, Geir B.


    (Department of Economics ,University of Oslo)

  • Dufwenberg, Martin

    (Dept. of Economics, Stockholm University)

The concept of ‘fully permissible sets ’ is defined by an algorithm that eliminate strategy subset . It is characterized as choice sets when there is common certain belief of the event that each player prefer one strategy to another if and only if the former weakly dominate the latter on the sets of all opponent strategie or on the union of the choice sets that are deemed possible for the opponent. the concept refines the Dekel-Fudenberg procedure and captures aspects of forward induction.

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Paper provided by Stockholm University, Department of Economics in its series Research Papers in Economics with number 2000:6.

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Length: 28 pages
Date of creation: 29 Feb 2000
Date of revision:
Handle: RePEc:hhs:sunrpe:2000_0006
Contact details of provider: Postal: Department of Economics, Stockholm, S-106 91 Stockholm, Sweden
Phone: +46 8 16 20 00
Fax: +46 8 16 14 25
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  1. T. Börgers, 2010. "Weak Dominance and Approximate Common Knowledge," Levine's Working Paper Archive 378, David K. Levine.
  2. Brandenburger Adam & Dekel Eddie, 1993. "Hierarchies of Beliefs and Common Knowledge," Journal of Economic Theory, Elsevier, vol. 59(1), pages 189-198, February.
  3. Asheim, Geir B. & Perea, Andres, 2005. "Sequential and quasi-perfect rationalizability in extensive games," Games and Economic Behavior, Elsevier, vol. 53(1), pages 15-42, October.
  4. Asheim, Geir B, 2000. "Deductive reasoning in Extensive Games," Research Papers in Economics 2000:7, Stockholm University, Department of Economics.
  5. Christian Ewerhart, 1998. "Rationality and the definition of consistent pairs," International Journal of Game Theory, Springer, vol. 27(1), pages 49-59.
  6. Marco Mariotti, 1997. "Decisions in games: why there should be a special exemption from Bayesian rationality," Journal of Economic Methodology, Taylor & Francis Journals, vol. 4(1), pages 43-60.
  7. Hurkens, Sjaak, 1996. "Multi-sided Pre-play Communication by Burning Money," Journal of Economic Theory, Elsevier, vol. 69(1), pages 186-197, April.
  8. Battigalli, Pierpaolo, 1996. "Strategic Rationality Orderings and the Best Rationalization Principle," Games and Economic Behavior, Elsevier, vol. 13(2), pages 178-200, April.
  9. Tan, Tommy Chin-Chiu & da Costa Werlang, Sergio Ribeiro, 1988. "The Bayesian foundations of solution concepts of games," Journal of Economic Theory, Elsevier, vol. 45(2), pages 370-391, August.
  10. Rajan, Uday, 1998. "Trembles in the Bayesian Foundations of Solution Concepts of Games," Journal of Economic Theory, Elsevier, vol. 82(1), pages 248-266, September.
  11. Basu, K. & Weibull, J.W., 1990. "Strategy Subsets Closed Under Rational Behaviour," Papers 479, Stockholm - International Economic Studies.
  12. Pearce, David G, 1984. "Rationalizable Strategic Behavior and the Problem of Perfection," Econometrica, Econometric Society, vol. 52(4), pages 1029-50, July.
  13. van Damme, E.E.C., 1989. "Stable equilibria and forward induction," Other publications TiSEM bd598a8f-f017-4cab-a9ed-8, Tilburg University, School of Economics and Management.
  14. Samuelson, Larry, 1992. "Dominated strategies and common knowledge," Games and Economic Behavior, Elsevier, vol. 4(2), pages 284-313, April.
  15. Samuelson, L., 1989. "Dominated Strategies And Common Knowledge," Papers 5-89-6, Pennsylvania State - Department of Economics.
  16. Elchanan Ben-Porath, 1997. "Rationality, Nash Equilibrium and Backwards Induction in Perfect-Information Games," Review of Economic Studies, Oxford University Press, vol. 64(1), pages 23-46.
  17. Asheim,G.B., 1999. "On the epistemic foundation for backward induction," Memorandum 30/1999, Oslo University, Department of Economics.
  18. D. B. Bernheim, 2010. "Rationalizable Strategic Behavior," Levine's Working Paper Archive 661465000000000381, David K. Levine.
  19. Blume, Lawrence & Brandenburger, Adam & Dekel, Eddie, 1991. "Lexicographic Probabilities and Equilibrium Refinements," Econometrica, Econometric Society, vol. 59(1), pages 81-98, January.
  20. Drew Fudenberg & Eddie Dekel, 1987. "Rational Behavior with Payoff Uncertainty," Working papers 471, Massachusetts Institute of Technology (MIT), Department of Economics.
  21. Blume, Lawrence & Brandenburger, Adam & Dekel, Eddie, 1991. "Lexicographic Probabilities and Choice under Uncertainty," Econometrica, Econometric Society, vol. 59(1), pages 61-79, January.
  22. Battigalli, P. & Siniscalchi, M., 1999. "Interactive Beliefs and Forward Induction," Economics Working Papers eco99/15, European University Institute.
  23. Epstein, Larry G & Wang, Tan, 1996. ""Beliefs about Beliefs" without Probabilities," Econometrica, Econometric Society, vol. 64(6), pages 1343-73, November.
  24. Borgers, Tilman & Samuelson, Larry, 1992. ""Cautious" Utility Maximization and Iterated Weak Dominance," International Journal of Game Theory, Springer, vol. 21(1), pages 13-25.
  25. Battigalli, Pierpaolo & Siniscalchi, Marciano, 2002. "Strong Belief and Forward Induction Reasoning," Journal of Economic Theory, Elsevier, vol. 106(2), pages 356-391, October.
  26. Geir B. Asheim, 2000. "Proper Consistency," Econometric Society World Congress 2000 Contributed Papers 0193, Econometric Society.
  27. Epstein, Larry G., 1997. "Preference, Rationalizability and Equilibrium," Journal of Economic Theory, Elsevier, vol. 73(1), pages 1-29, March.
  28. Geir B. Asheim, 2002. "Proper rationalizability in lexicographic beliefs," International Journal of Game Theory, Springer, vol. 30(4), pages 453-478.
  29. Battigalli, Pierpaolo, 1997. "On Rationalizability in Extensive Games," Journal of Economic Theory, Elsevier, vol. 74(1), pages 40-61, May.
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