Citation:
Winter, D. B., & Eyal, . (1994). A Necessary and Sufficient Epistemic Condition for Playing Backward Induction. Discussion Papers. presented at the 6, Journal of Mathematical Economics 27 (1997), 325-345. Retrieved from /files/dp48.pdf
Abstract:
In an epistemic framework due to Aumann we characterize the minimal condition on the rationality of the players that implies backward induction in perfect information games in agent form. This condition requires each player to know that the players are rational at later, but not at previous decision nodes.