Game theory models decision-making - Deepstash

Game theory models decision-making

Game theory analyzes strategic interactions in economics, politics, and biology, offering frameworks for optimizing outcomes in complex, competitive systems.

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Game Theory

Game Theory

  • In 1994 Nash, Selten and Harsanyi became Economics Nobel Laureates for their contributions to economic game theory.
  • Non-cooperative games are those where participants make non-binding agreements. They base their decisions on how they think the other participants will behav...

Mental Models: Examples

A mental model is an explanation of how something works. They are beliefs, worldviews or frameworks of thinking. You carry a certain kind of thinking in you to arrive at a solution to a problem.

Some examples:

  • Demand and Supply: to understand the economy
  • Game Theory: ...

Modern Economics Is Entrepreneur-less

Over 50 years ago, economist William Baumol noted that economics was a theory of the economy that left no place for entrepreneurship. Economic models, simply put, were “entrepreneur-less.” Economics is no better today; in fact, it’s arguably worse. It focuses on faceless economic...

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