Behavioral Aspects of Implementation Theory
This paper incorporates behavioral economics into implementation theory. We use mechanisms that are strictly detail-free. We assume that each agent dislikes telling a white lie when such lying does not serve her/his material interest. We present a permissive result wherein by using just a single detail-free mechanism, any alternative can be uniquely implemented in iterative dominance as long as the agents regard this alternative as being socially desirable.
|Date of creation:||Oct 2007|
|Date of revision:|
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- Martin J. Osborne & Ariel Rubinstein, 1994.
"A Course in Game Theory,"
MIT Press Books,
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- Maskin, Eric & Sjostrom, Tomas, 2001.
5-01-1, Pennsylvania State University, Department of Economics.
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- Abreu, Dilip & Matsushima, Hitoshi, 1992. "Virtual Implementation in Iteratively Undominated Strategies: Complete Information," Econometrica, Econometric Society, vol. 60(5), pages 993-1008, September.
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