Figure 5.

Effects of maladaptive DoM: (A) The DoM(2) has developed false beliefs about their unsophisticated DoM(–1) partner. This is because offers of the DoM(–1) sender lie outside the DoM(2) opponent model and are viewed as coming from a random sender. (B) In turn, the receiver’s docile policy means that they are willing to accept any offer, yielding them a low reward.

Note: Posterior P. means the posterior distribution of the inferring agent after observing the actions of the other agent. P = 0 means that the inferring agent’s belief places zero probability that the observed agent has type θ and P = 1 means that the inferring agent is certain that the observed agent has type θ.