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270. Surprising Power of Game Theory to Explain Irrationality (Moshe Hoffman and Erez Yoeli)

The Michael Shermer Show

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Game Theory and the Hawk Dove Game

A game's got three parts. It's got players, they choose between different actions, and they ey also will get pay offs. And in order to make this game theory, there are two key things we have to add to that. Number one is those pay offs will depend not just on the actions that they choose, but also on what other people are doing. That's really what makes game theory a good for studying social situations. Game theory assumes that when players choose theiract, they do so optimately, in some sense.

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