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5 votes
1 answer
122 views

About Two Methods of Computing Bayesian Equilibria

Question I want to compute the Bayesian equilibria for the following Bayesian game: With probability $p$, player 1 would be of type 1.1. With probability $1-p$, player 1 would be of type 1.2. Player ...
Beerus's user avatar
  • 505
0 votes
1 answer
95 views

Auction with independent private values - An example from Game Theory: Analysis of Conflict by Roger Myerson

I have difficulties understanding the equilibrium analysis of the following auction game: Suppose that there are $n$ bidders in an auction for a single indivisible object. Each player knows privately ...
Beerus's user avatar
  • 505
4 votes
0 answers
106 views

Perfect Bayesian Equilibium - Application to game with inconsistent beliefs / no common prior

Does the concept of a Perfect Bayesian Equilibrium apply only to incomplete games with a common prior / consistent belief? In both Bonanno's "Game Theory" and Osborne's "A Course in ...
oswinso's user avatar
  • 83
4 votes
1 answer
70 views

Equivalence from correlated/communication equilibrium to Nash Equilibrium?

Taking into account the seminal papers of Forges and Imre Bárány, they proove a very strong result that gives an exact connection among the communication and the correlation equilibrium solution ...
Hunger Learn's user avatar
4 votes
1 answer
71 views

Correlation device that induces a specific transition probability

Taking a look at this paper of Forges and Vida the authors define a correlation device in page $102$, that is a standard probability space $\left(\Omega,\mathcal{B},\mu\right)$, They assume that the ...
Hunger Learn's user avatar
1 vote
0 answers
40 views

What if Bergemann and Morris setting used mixed (or bbehavioral) actions instead of pure actions as reccomendations?

Once again, I will refer to the setting of Bergemann and Morris (2016) and write here the payoff formula of player $i$ from the perspective of the information designer. The payoff formula is the ...
Hunger Learn's user avatar
3 votes
1 answer
73 views

Bergemann and Morris information designer and decision rule concept

Taking a look in the paper of Bergemman and Morris in 2016, they refer to the desicion rule as mapping $$\sigma:\Theta\times T\to\Delta(A)$$ The explanation to understand the notion of it is given as ...
Hunger Learn's user avatar
3 votes
1 answer
108 views

Bayes correlated equilibrium of Bergemann and Morris

The paper of Bergemann and Morris proves a theorem based on some foundations about the information sets and their expansions. I am trying to understand theorem one intuition, more precisely I cite the ...
Hunger Learn's user avatar