Abstract
We characterize epistemic consequences of truthful communication among rational agents in a game-theoretic setting. To this end we introduce normal-form games equipped with an interaction structure, which specifies which groups of players can communicate their preferences with each other. We then focus on a specific form of interaction, namely a distributed form of iterated elimination of strictly dominated strategies (IESDS), driven by communication among the agents. We study the outcome of IESDS after some (possibly all) messages about players’ preferences have been sent. The main result of the paper, Theorem 4, provides an epistemic justification of this form of IESDS.
Similar content being viewed by others
References
Apt, K. R. (2007). The many faces of rationalizability. The B.E. Journal of Theoretical Economics, 7(1):Article 18.
Apt K. R., Rossi F., Venable K. B. (2008) Comparing the notions of optimality in CP-nets, strategic games and soft constraints. Annals of Mathematics and Artificial Intelligence 52(1): 25–54
Apt, K. R., Witzel, A., & Zvesper, J. A. (2009). Common knowledge in interaction structures. In Proceedings of the 12th conference on theoretical aspects of rationality and knowledge (TARK XII).
Apt K. R., Zvesper J. (2010) The role of monotonicity in the epistemic analysis of strategic games. Games 1(4): 381–394
Apt, K. R., & Zvesper, J. (2010). Public announcements in strategic games with arbitrary strategy sets. Presented at LOFT 2010 (9th conference on logic and the foundations of game and decision theory) (11 pp). http://arxiv.org/abs/1012.5173.
Baltag, A., Moss, L. S., & Solecki, S. (1999). The logic of public announcements, common knowledge and private suspicions. Technical Report SEN-R9922, Centrum voor Wiskunde en Informatica.
Battigalli P., Bonanno G. (1999) Recent results on belief, knowledge and the epistemic foundations of game theory. Research in Economics 53(2): 149–225
Bernheim B. D. (1984) Rationalizable strategic behavior. Econometrica 52(4): 1007–1028
Brandenburger A., Dekel E. (1987) Rationalizability and correlated equilibria. Econometrica 55(6): 1391–1402
Brandenburger, A., Friedenberg, A., & Keisler, H. J. (2006). Fixed points for strong and weak dominance. Working paper.
Chamley C. P. (2004) Rational herds: Economic models of social learning. Cambridge University Press, Cambridge
Chandy K. M., Misra J. (1986) How processes learn. Distributed Computing 1(1): 40–52
Chen Y., Long N. V., Luo X. (2007) Iterated strict dominance in general games. Games and Economic Behavior 61(2): 299–315
Crawford V. P., Sobel J. (1982) Strategic information transmission. Econometrica 50(6): 1431–1451
Fagin R., Halpern J. Y., Moses Y., Vardi M. Y. (1997) Knowledge-based programs. Distributed Computing 10(4): 199–225
Fagin R., Halpern J. Y., Vardi M. Y., Moses Y. (1995) Reasoning about knowledge. MIT Press, Cambridge
Farrell J., Rabin M. (1996) Cheap talk. The Journal of Economic Perspectives 10(3): 103–118
Fudenberg D., Tirole J. (1991) Game theory. MIT Press, Cambridge
Gerbrandy J. (2007) Communication strategies in games. Journal of Applied Non-Classical Logics 17(2): 197–211
Kearns M., Littman M. L., Singh S. (2001). Graphical models for game theory. In J. S. Breese & D. Koller (Ed.), Proceedings of the 17th conference in uncertainty in artificial intelligence (pp. 253–260). Seattle, WA: Morgan Kaufmann.
Osborne M. J., Rubinstein A. (1994) A course in game theory. The MIT Press, Cambridge, MA
Osborne M. J., Rubinstein A. (1994) A course in game theory. MIT Press, Cambridge
Pearce D. G. (1984) Rationalizable strategic behavior and the problem of perfection. Econometrica 52(4): 1029–1050
Plaza, J. A. (1989). Logics of public communications. In Emrich, M. L., Pfeifer, M. S., Hadzikadic, M., & Ras, Z. W. (Ed.), Proceedings of the 4th international symposium on methodologies for intelligent systems (pp. 201–216).
Sally D. (2005) Can I say “bobobo” and mean “there’s no such thing as cheap talk”?. Journal of Economic Behavior & Organization 57(3): 245–266
Shoham Y. (1993) Agent-oriented programming. Artificial Intelligence 60(1): 51–92
Tan T. C., Werlang S. (1988) The Bayesian foundations of solution concepts of games. Journal of Economic Theory 45(2): 370–391
van Benthem, J. (2007). Rational dynamics and epistemic logic in games. International Game Theory Review, 9(1), 13–45 (to appear).
Witzel, A. (2009). Knowledge and games: Theory and implementation. PhD thesis, University of Amsterdam. ILLC Dissertation Series 2009-05.
Witzel, A., Apt, K. R., & Zvesper, J. A. (2009). Strategy elimination in games with interaction structures. In Proceedings of the 2nd international workshop on logic, rationality and interaction (LORI-II). Lecture Notes in Artificial Intelligence 5834 (pp. 302–315). Berlin: Springer.
Author information
Authors and Affiliations
Corresponding author
Additional information
Andreas Witzel and Jonathan A. Zvesper were supported by a GLoRiClass fellowship funded by the European Commission (Early Stage Research Training Mono-Host Fellowship MEST-CT-2005-020841). Most of this work was done at the Institute for Logic, Language and Computation, University of Amsterdam, Netherlands.
Rights and permissions
About this article
Cite this article
Witzel, A., Apt, K.R. & Zvesper, J.A. Distributed iterated elimination of strictly dominated strategies. Auton Agent Multi-Agent Syst 25, 395–418 (2012). https://doi.org/10.1007/s10458-011-9178-1
Published:
Issue Date:
DOI: https://doi.org/10.1007/s10458-011-9178-1