| Article ID: | iaor20172947 |
| Volume: | 25 |
| Issue: | 2 |
| Start Page Number: | 402 |
| End Page Number: | 412 |
| Publication Date: | Jul 2017 |
| Journal: | TOP |
| Authors: | Borm Peter, Kleppe John |
| Keywords: | literature survey, Nash equilibrium |
Proper equilibrium plays a prominent role in the literature on non‐cooperative games. The underlying thought experiment in which the players play a passive role is, however, unsatisfying, as it gives no justification for its fundamental idea that severe mistakes are made with a significantly smaller probability than innocuous ones. In this paper, we introduce a more active role for the players, leading to the refinement of fall back proper equilibrium.