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- W189396554 abstract "The aim of this paper is twofold: firstly, to present a survey of the theory of games, and secondly, to contrast deductive and inductive reasoning in game theory. This report begins with an overview of the classical theory of strategic form games of complete information. This theory is based on the traditional economic assumption of rationality, common knowledge of which yields Nash equilibrium as a deductive solution to games in this class. In the second half of this paper, modern game-theoretic ideas are introduced. In particular, learning and repeated games are analyzed using an inductive model, in the absence of common knowledge. In general, inductive reasoning does not gives rise to the Nash equilbrium when learning is deterministic, unless initial beliefs are somehow fortuitously chosen. However, computer simulations show that in the presence of a small random component, repeated play does indeed converge to Nash equilibrium. This research is of interest to computer scientists because modern game theory is a natural framework in which to formally study multi-agent systems and distributed computing." @default.
- W189396554 created "2016-06-24" @default.
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- W189396554 date "1998-02-24" @default.
- W189396554 modified "2023-09-23" @default.
- W189396554 title "Modern Game Theory: Deduction vs. Induction" @default.
- W189396554 hasPublicationYear "1998" @default.
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