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  2. Behavioral game theory - Wikipedia

    en.wikipedia.org/wiki/Behavioral_game_theory

    The theory allows for rational and irrational decisions because both are examined using real-life experiments in the form of simple games. Simple games are often used in behavioral game theory research as a way of analyzing unexplored phenomena, such as social preferences and social utility, that are not explored in traditional game theory. [1]

  3. Dollar auction - Wikipedia

    en.wikipedia.org/wiki/Dollar_auction

    A series of short-term rational bids will reach and ultimately surpass one dollar as the bidders seek to minimize their losses. If the first bidder bids 95 cents, and the second bidder bids one dollar (for no net gain or loss), the first bidder stands to lose 95 cents unless they bid $1.05, in which case bidding more than the value of the ...

  4. Prisoner's dilemma - Wikipedia

    en.wikipedia.org/wiki/Prisoner's_dilemma

    The prisoner's dilemma is a game theory thought experiment involving two rational agents, each of whom can either cooperate for mutual benefit or betray their partner ("defect") for individual gain. The dilemma arises from the fact that while defecting is rational for each agent, cooperation yields a higher payoff for each.

  5. Irrational Games - Wikipedia

    en.wikipedia.org/wiki/Irrational_Games

    Development on BioShock Infinite, what would be Irrational's last game, started in 2008, about half a year after completion of the original BioShock.Following the game's public announcement in 2010, the company was pressured by 2K Games and the gaming consumers to make sure the title lived up to the expectations that the promotional material had set for it.

  6. Bayesian game - Wikipedia

    en.wikipedia.org/wiki/Bayesian_game

    If both players are rational and both know that both players are rational and everything that is known by any player is known to be known by every player (i.e. player 1 knows player 2 knows that player 1 is rational and player 2 knows this, etc. ad infinitum – common knowledge), play in the game will be as follows according to perfect ...

  7. Rational irrationality - Wikipedia

    en.wikipedia.org/wiki/Rational_irrationality

    Rational irrationality is not doublethink and does not state that the individual deliberately chooses to believe something he or she knows to be false. Rather, the theory is that when the costs of having erroneous beliefs are low, people relax their intellectual standards and allow themselves to be more easily influenced by fallacious reasoning, cognitive biases, and emotional appeals.

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