Learning to signal: analysis of a micro-level reinforcement model
We consider the following signaling game. Nature plays first from the set {1,2}{1,2}. Player 1 (the Sender) sees this and plays from the set {A,B}{A,B}. Player 2 (the Receiver) sees only Player 1’s play and plays from the set {1,2}{1,2}. Both players win if Player 2’s play equals Nature’s play and lose otherwise. Players are told whether they have won or lost, and the game is repeated. An urn sche