RDP 2007-12: Dynamic Pricing and Imperfect Common Knowledge Equation (B10)

M = [ R 0 0 0 ] + [ 0 2 × 2 0 0 [ W K L W ] 11 ] + [ 0 [ K L W ] 11 ] MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaamytaiabg2 da9maadmaabaqbaeqabiGaaaqaaiaadkfaaeaaieqacaWFWaaabaGa a8hmaaqaaiaa=bdaaaaacaGLBbGaayzxaaGaey4kaSYaamWaaeaafa qabeGacaaabaGaa8hmamaaBaaaleaaiiaacqGFYaGmcqGFxdaTcqGF YaGmaeqaaaGcbaWexLMBb50ujbqegiuyZTwzYzxASXwzG8eBKbIrHn wzaGqbbiab9bdaWaqaaiaa=bdaaeaadaWadaqaaiaadEfacqGFsisl caWGlbGaamitaiaadEfaaiaawUfacaGLDbaadaWgaaWcbaGaaGymai aaigdaaeqaaaaaaOGaay5waiaaw2faaiabgUcaRmaadmaabaqbaeqa biqaaaqaaiaa=bdaaeaadaWadaqaaiaadUeacaWGmbGaam4vaaGaay 5waiaaw2faamaaBaaaleaacaaIXaGaaGymaaqabaaaaaGccaGLBbGa ayzxaaaaaa@6168@