Approximate Common Knowledge Based on Uncertain Measure

Authors

Cheng Wang, Institute of Systems Engineering, Tianjin University, Tianjin 300072, ChinaFollow
Wansheng Tang, Institute of Systems Engineering, Tianjin University, Tianjin 300072, ChinaFollow
Ruiqing Zhao, Institute of Systems Engineering, Tianjin University, Tianjin 300072, ChinaFollow

Corresponding Author

Wansheng Tang, Institute of Systems Engineering, Tianjin University, Tianjin 300072, China; tang@tju.edu.cn

Document Type

Article

Abstract

This paper studies that how an uncertain event can be outlined as an approximate common knowledge. By replacing “know” with “know with certainty α” in standard definitions of common knowledge, approximate common knowledge with some certainty, defined iteratively and mutually, iteratively known and mutually known with some certainty, are explored. Examples are constructed to show that an event which is not common knowledge can be analyzed as an approximate common knowledge with some certainty. An application in the principal-agent model is investigated to show that approximate common knowledge based on uncertain measure can be applied to improve the behavior of an economic model.

Recommended Citation

Wang, Cheng; Tang, Wansheng; and Zhao, Ruiqing, "Approximate Common Knowledge Based on Uncertain Measure" (2009). ICEB 2009 Proceedings (Macau, SAR China). 140.
https://aisel.aisnet.org/iceb2009/140