Game Theory 101: The Complete Textbook on Amazon: https://www.amazon.com/Game-Theory-101-Complete-Textbook/dp/1492728152/
http://gametheory101.com/courses/game-theory-101/
The backward induction solution to the centipede game differs greatly from how actors play in laboratory settings. What gives? This lecture explains how our game theoretical results are actually a function of our assumptions. Our assumptions drive our conclusions; game theory is merely a mathematical way to ensure that these conclusions are logically valid.
In other words, game theory provides no black magic. It is merely a logical accounting standard. (But accounting standards are very useful!)
Continue this lesson in the app
Install CourseHive on Android or iOS to keep learning while you move.
