Schipper, Burkhard C. Meier, Martin Heifetz, Aviad
Year of Publication:
Working Paper 17-4
We present a new solution concept for strategic games called comprehensive rationalizability that embodies "common cautious belief in rationality" based on a sound epistemic characterization in a universal type space. It refines rationalizability, but it neither refines nor is refined by iterated admissibility. Nevertheless, it coincides with iterated admissibility in many relevant economic applications.
Common assumption of rationality common belief in rationality iterated admissibility rationalizability lexicographic belief systems