I never liked this type of puzzle. It is not formal logic but more about the idiosyncrasies and conventions of the English language. I put this puzzle on par with Agatha Christie’s murder mysteries. It requires a suspension of disbelief and logic to be believable. Someone who always lies means in the purest sense means you cannot trust anything they say. Even the word “hat” could mean they are talking about their pet…
This is almost certainly not what the author will say, and it does have some tangential connections to computing so it's worth expanding on briefly.
In computing you often reduce problems to smaller problems, this can be done with recursion but it doesn't have to be, dynamic programming kind of is the reverse of it; whatever. When you do that though, you get these questions about really small collections, sets, lists, data structures.
Just for a quick concrete example so that we're not an abstract theory land, is a one-element list sorted? Is a zero element list sorted? Is [5, 5, 5] sorted ascending, descending, both, or neither? If you choose the wrong answer, then it means that your algorithm needs to be more complex, you don't trust zero-element lists to be sorted so your quicksort HAS to pivot on a median of 3, you don't trust one-element lists to be sorted so your quicksort HAS to pivot on a median of 5, or maybe when you see that you would recurse into a list of size 1 you generate a new median-pivot or something.
In mathematics, there is a convention which attempts to generalize this idea that an empty list is always sorted. In fact, an empty list is also always randomly sorted. It is always sorted descending, too. If it's an empty array of ints, all of those ints are greater than 1000—and they are also less than 50.
The mathematical convention is, in lay speak, “if you are talking about nothing, pretty much anything you say is going to be true unless it's gibberish.” If I said every int is green, well, synesthesia excepted ints don't really have colors, that's crap.
Everything else is “trivially true.” More formally, any predicate of the form {for all elements in S, this is true of that element} is taken to be “trivially true” when S is an empty set. It is something like the code,
let agg = true
for (const element of mylist) {
agg = agg || f(element)
}
So that's the convention and besides making base cases much easier, one reason to do this is that the negation of any “for all Xs in the set, Y” is always perfectly specified as “there exists an X in the set such that not-Y.” The other convention you'd have to negate as “Either the set is empty or (...)”.
So the claim is that the perfect Liar is lying according to mathematical rules of Truth and falsehood, and according to those rules, this statement “all of my hats are green” can only be false if there exists at least one hat belonging to the liar which is not green. If there are no hats then the statement was trivially true.