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This lecture introduces separating equilibrium, a form of perfect Bayesian equilibrium in signaling games. In a separating equilibrium, after observing an equilibrium strategy, the uniformed player can infer everything about its opponent. This makes solving for its optimal strategy straightforward.
Separating equilibria are normally the easiest type of PBE to solve for in signaling games. The cases will get a lot more complicated when we advance to pooling equilibria and semi-separating equilibria.
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