Bounded interpersonal inferences and decision making

Mamoru Kaneko*, Nobu Yuki Suzuki

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

8 Citations (Scopus)


Individual decision making is based on predictions about other players' choices as well as on valuations of reactions to predictions. In this sense, a player has a prediction-decision criterion for decision making. We develop a theory of prediction-decision criteria, which enables us to capture new phenomena on individual decision making in games. The decision making situation is described in the epistemic logic GLEF of shallow depths. There, each player considers his and other players' decision making down to some shallow depths. It is a point of our theory to investigate inferential complexities of interpersonal introspections. In particular, we can discuss a minimal epistemic inferential structure for prediction-decision making. We will find parallel structures in decision making and prediction making, which is called an inner parallelism. The climax of the paper is the consideration of inner parallelisms of prediction-decision making.

Original languageEnglish
Pages (from-to)63-103
Number of pages41
JournalEconomic Theory
Issue number1
Publication statusPublished - 2002 Jan
Externally publishedYes


  • Complexity of interpersonal introspection
  • Epistemic structure
  • Inner parallelism
  • Prediction-decision criterion
  • Shallow epistemic depth

ASJC Scopus subject areas

  • Economics and Econometrics


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