Convergence in Economic Models with Bayesian Hierarchies of Beliefs

Nyarko, Y. (1997). Convergence in Economic Models with Bayesian Hierarchies of Beliefs. Journal of Economic Theory, 74(2), 266-296.

I study a model where hierarchies of beliefs (the beliefs about the beliefs of other agents, etc.) are important. I provide conditions under which optimal actions of agents will converge to the Nash equilibrium of the model characterized by the true, previously unknown ``fundamentals.''

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