City Research Online

Abstract

This paper provides a set-theoretic model of knowledge and unawareness. A new property called Awareness Leads to Knowledge shows that unawareness of theorems not only constrains an agent's knowledge, but also can impair his reasoning about what other agents know. For example, in contrast to Li (J Econ Theory 144:977-993, 2009), Heifetz et al. (J Econ Theory 130:78-94, 25 2006) and the standard model of knowledge, it is possible that two agents disagree on whether another agent knows a particular event. The model follows Aumann (Ann Stat 4:1236-1239, 1976) in defining common knowledge and characterizing it in terms of a self-evident event, but departs in showing that no-trade theorems do not hold.

Publication Type:	Article
Publisher Keywords:	Unawareness, Uncertainty, Knowledge, Interactive epistemology, Bounded perception
Subjects:	H Social Sciences > HB Economic Theory
Departments:	School of Policy & Global Affairs > Economics
SWORD Depositor:	Symplectic Administrator

Export

Downloads