In any case, you shouldn’t know wrong things at any point. The trick is to be able to consider what’s going on without assuming (knowing) that you result from an actual choice.
No, in UDT1 you don’t update on outside computations like that. You just recompute the EU.
This doesn’t seem right. You update quite fine, in the sense that you’d prefer a strategy where observing utility-maximizer choose X leads you to conclude that X is the highest-utility choice, in the sense that all the subsequent actions are chosen as if it’s so.
In any case, you shouldn’t know wrong things at any point. The trick is to be able to consider what’s going on without assuming (knowing) that you result from an actual choice.
This doesn’t seem right. You update quite fine, in the sense that you’d prefer a strategy where observing utility-maximizer choose X leads you to conclude that X is the highest-utility choice, in the sense that all the subsequent actions are chosen as if it’s so.