Rational Expectations in Games

S-Tier
Journal: American Economic Review
Year: 2008
Volume: 98
Issue: 1
Pages: 72-86

Authors (2)

Score contribution per author:

4.022 = (α=2.01 / 2 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

A player i's actions in a game are determined by her beliefs about other players; these depend on the game's real-life context, not only its formal description. Define a game situation as a game together with such beliefs; call the beliefs— and i's resulting expectation—rational if there is common knowledge of rationality and a common prior. In two-person zero-sum games, i's only rational expectation is the game’s value. In an arbitrary game G, we characterize i's rational expectations in terms of the correlated equilibria of the doubled game 2G in which each of i's strategies in G appears twice. (JEL C72, D83, D84)

Technical Details

RePEc Handle
repec:aea:aecrev:v:98:y:2008:i:1:p:72-86
Journal Field
General
Author Count
2
Added to Database
2026-01-24