Joseph Farrell
1993
Games and Economic Behavior 5(4):514-31, 1993
I define neologism-proofness, a refinement of perfect Bayesian equilibrium in cheap-talk games. It applies when players have a preexisting common language, so that an unexpected message's literal meaning is clear, and only credibility restricts communication. I show that certain ...MORE ⇓
I define neologism-proofness, a refinement of perfect Bayesian equilibrium in cheap-talk games. It applies when players have a preexisting common language, so that an unexpected message's literal meaning is clear, and only credibility restricts communication. I show that certain implausible equilibria are not neologism-proof; in some games, no equilibrium is.