A Note on Cursed Sequential Equilibrium and Sequential Cursed Equilibrium

Meng-Jhang Fong, Po-Hsuan Lin and Thomas R. Palfrey

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Abstract: In this short note, we compare the cursed sequential equilibrium (CSE) by Fong et al. (2023) and the sequential cursed equilibrium (SCE) by Cohen and Li (2023). We identify eight main differences between CSE and SCE with respect to the following features: (1) the family of applicable games, (2) the number of free parameters, (3) the belief updating process, (4) the treatment of public histories, (5) effects in games of complete information, (6) violations of subgame perfection and sequential rationality, (7) re-labeling of actions, and (8) effects in one-stage simultaneous-move games.

Date: 2023-04
New Economics Papers: this item is included in nep-gth
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