K-Proper Equilibria

Abstract

We consider a class of equilibrium refinements for finite games in strategic form. The refinements in this family are indexed from least to most restrictive. Proper equilibrium is obtained as a special case within the class; all other concepts are stronger than trembling-hand perfection and weaker than proper equilibrium, so they provide a collection of intermediate refinements. We argue theoretically and illustrate by examples that in some applications, the intermediate refinement concepts are preferable to either trembling-hand or proper equilibrium.