6. Perfect Bayesian Equilibrium: Requirement 2 (Sequential Rationality) (Game Theory Playlist 10)

[@ВадимФрантенко]

Absolutely brilliant explanation, thank you!

[@dally3825]

Beautiful explanation. Thank you.

[@saunokchakrabarty8384]

In the case of (L, U, mu=0), what if the payoff to Player 2 is same for both U and D? How does she respond then?

[@hotbuzz5325]

EU(L) = 1/2 * (2) = 1 . EU( L & M) = (1 + 0) = 1. Thus, R IS infact best.

[@nikitasingh3947]

here EU1(L) should be equal to 1 bcz mu=1/2 so he will get 1 payoff