ECON 4180 Lecture 2: Lecture2
28 Mar 2016
School
Department
Course
Professor
Document Summary
An information set describes which decision nodes are connected to each other by dashed lines. Every decision node is contained in an information set; some information set consist of only one node. For such a singleton information set, the player exactly can distinguish the node from others. If more than one node are connected by dashed lines, it means that a player cannot distinguish between them (later we need to think of the player"s beliefs assigned to each node in the information set). This also implies at every node within a given information set, a player must have the same set of possible actions. Another restriction imposed on players" information sets is so-called per- fect recall. It means that a player does not forget what he once knew, including his own actions. Let us think of such examples that violate the perfect recall.
