Interim partially correlated rationalizability

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Interim partially correlated rationalizability

We formalize a solution concept called interim partially correlated rationalizability (IPCR), which was implicitly discussed in both Ely and Peski (2006) and Dekel et al. (2007). IPCR allows for interim correlations, i.e., correlations that depend on opponents’ types but not on the state of nature. As a direct extension of Ely and Peski’s main result, we show that hierarchies of beliefs over co...

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Interim correlated rationalizability

This paper proposes the solution concept of interim correlated rationalizability, and shows that all types that have the same hierarchies of beliefs have the same set of interim-correlated-rationalizable outcomes. This solution concept characterizes common certainty of rationality in the universal type space.

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ژورنال

عنوان ژورنال: Games and Economic Behavior

سال: 2015

ISSN: 0899-8256

DOI: 10.1016/j.geb.2015.03.012