Subjunctive conditionals are fundamental to rational decision both in single agent and multiple agent decision problems. They need explicit analysis only when they cause problems, as they do in recent discussions of rationality in extensive form games. This paper examines subjunctive conditionals in the theory of games using a strict revealed preference interpretation of utility. Two very different models of games are investigated, the classical model and the limits of reality model. In the classical model the logic of backward induction (...) is valid, but it does not use subjunctive conditionals; the relevant subjunctive conditionals do not even make sense. In the limits of reality model the subjunctive conditionals do make sense but backward induction is valid only under special assumptions. (shrink)

Counterpossibles, counterfactuals conditional with impossible antecedents, are notoriously contested; while the standard view makes them trivially true, some authors argue that they can be non-trivially true. In this paper, I examine the use of counterfactuals in the context of games, and argue that there is a case to be made for their non-triviality in a restricted sense. In particular, I examine the case of retro problems in chess, where it can happen that one is tasked with evaluating counterfactuals about illegal (...) positions. If we understand illegality as a type of restricted impossibility, those counterfactuals are non-trivial counterpossibles. I suggest that their non-triviality stems from their role in practices of rule coordination and revision, and suggest that this model could be generalized to counterpossibles in different domains. I then compare the approach to the accounts of Vetter 2016 and Locke 2019. (shrink)

We present an axiomatic approach for a class of finite, extensive form games of perfect information that makes use of notions like “rationality at a node” and “knowledge at a node.” We distinguish between the game theorist's and the players' own “theory of the game.” The latter is a theory that is sufficient for each player to infer a certain sequence of moves, whereas the former is intended as a justification of such a sequence of moves. While in general the (...) game theorist's theory of the game is not and need not be axiomatized, the players' theory must be an axiomatic one, since we model players as analogous to automatic theorem provers that play the game by inferring (or computing) a sequence of moves. We provide the players with an axiomatic theory sufficient to infer a solution for the game (in our case, the backwards induction equilibrium), and prove its consistency. We then inquire what happens when the theory of the game is augmented with information that a move outside the inferred solution has occurred. We show that a theory that is sufficient for the players to infer a solution and still remains consistent in the face of deviations must be modular. By this we mean that players have distributed knowledge of it. Finally, we show that whenever the theory of the game is group-knowledge (or common knowledge) among the players (i.e., it is the same at each node), a deviation from the solution gives rise to inconsistencies and therefore forces a revision of the theory at later nodes. On the contrary, whenever a theory of the game is modular, a deviation from equilibrium play does not induce a revision of the theory. (shrink)

For the past 20 years or so the literature on noncooperative games has been centered on the search for an equilibrium concept that expresses the notion of rational behavior in interactive situations. A basic tenet in this literature is that if a “rational solution” exists, it must be a Nash equilibrium. The consensus view, however, is that not all Nash equilibria can be accepted as rational solutions. Consider, for example, the game of Figure 1.

The paper provides a framework for representing belief-contravening hypotheses in games of perfect information. The resulting t-extended information structures are used to encode the notion that a player has the disposition to behave rationally at a node. We show that there are models where the condition of all players possessing this disposition at all nodes (under their control) is both a necessary and a sufficient for them to play the backward induction solution in centipede games. To obtain this result, we (...) do not need to assume that rationality is commonly known (as is done in [Aumann (1995)]) or commonly hypothesized by the players (as done in [Samet (1996)]). The proposed model is compared with the account of hypothetical knowledge presented by Samet in [Samet (1996)] and with other possible strategies for extending information structures with conditional propositions. (shrink)

In this paper, we investigate the semantics and logic of choice-driven counterfactuals, that is, of counterfactuals whose evaluation relies on auxiliary premises about how agents are expected to act, i.e., about their default choice behavior. To do this, we merge one of the most prominent logics of agency in the philosophical literature, namely stit logic, with the well-known logic of counterfactuals due to Stalnaker and Lewis. A key component of our semantics for counterfactuals is to distinguish between deviant and non-deviant (...) actions at a moment, where an action available to an agent at a moment is deviant when its performance does not agree with the agent’s default choice behavior at that moment. After developing and axiomatizing a stit logic with action types, instants, and deviant actions, we study the philosophical implications and logical properties of two candidate semantics for choice-driven counterfactuals, one called rewind models inspired by Lewis, 455–476 1979) and the other called independence models motivated by well-known counterexamples to Lewis’s proposal Slote, 3–27 1978). In the last part of the paper we consider how to evaluate choice-driven counterfactuals at moments arrived at by some agents performing a deviant action. (shrink)

One of the most commonly observed peculiarities of the instrumental conception of rationality is that when applied in contexts of social interaction it sometimes prescribes actions that will predictably result in suboptimal outcomes. Often these outcomes could be avoided if agents were able to credibly commit themselves to refraining from exercising certain options available to them. The prisoners’ dilemma is the classic example. This problem has generated a small growth industry of attempts to modify the instrumental model in order to (...) incorporate commitments. The reason that philosophers are so attracted to this project is that it seems to offer them an opportunity to finish off the job that Socrates began, viz. to refute moral skepticism of the ‘rational egoist’ variety.1 None of this has worked very well, but enthusiasm for the project appears to continue unabated. (shrink)