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    The paradox of backward induction arises from building li... — Carmelics
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    The paradox of backward induction arises from building literally complete information into the concept of rationality.

    Modality & PossibilityTruth & Knowledge
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    1 reason for
    2 reasons against

    Reasons For

    1 perspective
    Reason for
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    • 1.Some paradoxes arise when rationality is defined to include possession and use of literally complete information.
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    • 2.Backward induction relies on a concept of rationality that assumes complete information.
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    Reasons Against

    2 perspectives
    Reason against 1 of 2
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    • 1.Backward induction is derivable from common knowledge of rationality alone, without requiring complete information about outcomes or world-states.
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    • 2.Aumann's 1995 formalization demonstrates that mutual knowledge of rationality in extensive-form games suffices to generate backward induction conclusions.
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    • 3.Therefore, the paradox arises from epistemic assumptions about players' beliefs, not from information completeness built into rationality itself.
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    Reason against 2 of 2
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    • 1.Pettit and Sugden (1989) show the backward induction paradox emerges specifically because rationality assumptions become counterfactually self-undermining at off-path nodes.
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    • 2.This self-undermining structure is a problem of conditional reasoning under hypothetical deviation, not a problem of information completeness.
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    • 3.Attributing the paradox to 'complete information' misdiagnoses a failure of counterfactual robustness as an informational excess.
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    Related

    Attributing the paradox to 'complete information' misdiagnoses a failure of coun...Aumann's 1995 formalization demonstrates that mutual knowledge of rationality in...Backward induction is derivable from common knowledge of rationality alone, with...Backward induction relies on a concept of rationality that assumes complete info...
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    Pettit and Sugden (1989) show the backward induction paradox emerges specificall...Some paradoxes arise when rationality is defined to include possession and use o...Therefore, the paradox arises from epistemic assumptions about players' beliefs,...This self-undermining structure is a problem of conditional reasoning under hypo...

    Similar

    The common knowledge of rationality assumption used in backward induct...87%The paradox of backward induction only generates a problem when game t...86%Backward induction relies on a concept of rationality that assumes com...85%Aumann's Theorem states that common knowledge of substantive rationali...84%

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    SEP: game-theory
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    The paradox of backward induction is one of a family of paradoxes that arise if one builds possession and use of literally complete information into a concept of rationality. (Consider, by analogy, the stock market paradox that arises if we suppose that economically rational investment incorporates literally rational expectations: assume that no individual investor can beat the market in the long run because the market always knows everything the investor knows; then no one has incentive to gath
    Extraction notes

    Validity: Extracted via Max plan + API grounding/validity checks

    Details

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    claim
    Perspectives
    3 (1 for, 2 against)
    Edits
    1 edit