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SBE 2020: Submission Detail

ID Number: 20
Title: Predictive Game Theory
Lead Author: Fudenberg, Drew
Abstract: Game theory is used in a variety of field inside and outside of social science. The standard methodology is to write down a description of the game and characterize its Nash or subgame perfect equilibria, but this is only sometimes a good approximation of observed behavior. The goal of predictive game theory is to develop models that better predict actual behavior in the field and in the lab. Core questions include: What determines peoples behavior the first time they play an unfamiliar game? How do people update their play based on their observations? What sorts of theories of mind, if any, are commonly used to guide play, and what do people think about the objective and rationality of their opponents? How do people think about games with a very large number of actions- what sort of pruning is involved? When will play resemble an equilibrium of the game, and which equilibrium will tend to emerge? Similarly, in a decentralized matching market, when will play converge to a stable outcome, and which one? To develop answers, researchers will need to combine insights from behavioral economics and psy
PDF: Fudenberg_Drew_20.pdf

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