Sequential Cursed Equilibrium
Abstract
We propose an extensive-form solution concept, with players who neglect information from hypothetical events but make inferences from observed events. Our concept modifies cursed equilibrium (Eyster and Rabin 2005) and allows that players can be cursed about endogenous information. (JEL C73, D44, D71, D81, D83, D91)
Fields of Study & Subjects
Game Theory and Applications
Economic theories and models
Auction Theory and Applications
Publication details
- Journal / source
- American Economic Review
- Publisher
- American Economic Association
- Volume
- 116
- Issue
- 3
- Pages
- 934–976
- Publication date
- 27 February 2026
- Language
- EN