/* IBR_B.G: inverse best response function for player b (column player) in the prisoners dilemma game This procedure returns the value of p_a (b's beliefs of prisoner a's probability of confessing) necessary to "rationalize" a given value of b confessing, p_b. p_b lives on a subdomain of [0,1], since ordinarily p_b cannot assume all possible values in this interval. John Rust, University of Maryland, November 2005 */ proc (1)=ibr_b(p_b,x_b); /* x_b is player a's observable type and p_a is player b's belief about the probablity that prisoner a will confess. Procedure returns the probability that prisoner b will confess, representing the optimal decision rule for prisoner a whether to confess or not confess, with prisoner b's private information "integrated out". Implicitly passed global: sig_b: scale parameter for prisoner b's private information (Type III extreme value distribution) returned values: p: inverse best response probability (of confessing) */ local df,p,pbu,pbl; {pbl,df}=br_b(0,x_b); {pbu,df}=br_b(1,x_b); if (p_b < pbl); retp(0); elseif (p_b > pbu); retp(1); else; df=ln(1-1/p_b)-(dd_b-cd_b)*x_b; retp(df/(x_b*(dc_b-cc_b+cd_b-dd_b))); endif; endp;