Strategy Rescaling and the Stability of Kantian Optimization (opens in new tab)

This study investigates the properties and stability of the Multiplicative Kantian Equilibrium (MKE) in symmetric games. We first demonstrate that MKE lacks strategic equivalence: the Kantian best-response function is not invariant under monotonic strategy rescaling. This strategic non-equivalence implies that the choice of measurement scale - a subjective interpretation of the game - materially impacts equilibrium outcomes. Exploiting this non-...