The Theory of Minds Within the Theory of Games

Proceedings of the 2012 International Conference on Artificial Intelligence, 2012

7 Pages Posted: 25 May 2012  

Mathew D. McCubbins

Department of Political Science and Law School, Duke University

Mark B. Turner

Case Western Reserve University - Department of Cognitive Science

Nicholas Weller

University of California, Riverside (UCR)

Date Written: May 25, 2012

Abstract

Classical rationality as accepted by game theory assumes that a human chooser in a given moment has consistent preferences and beliefs and that actions result consistently from those preferences and beliefs, and moreover that these preferences, beliefs, and actions remain the same across equal choice moments. Since, as is widely found in prior experiments, subjects do not follow the predictions of classical rationality, behavioral game theorists have assumed consistent deviations from classical rationality by assigning to subjects certain dispositions — risk preference, cognitive abilities, social norms, etc. All of these theories are fundamentally cognitive theories, making claims about how individual human minds work when choosing. All of them are fundamentally wrong in assuming one kind of consistency or another. Or at least, all of the proposals for consistency in belief, preference, and action with which we are aware turn out to be wrong when tested experimentally

Keywords: Behavioral game theory, experiments, cognition, Trust, Dictator, Donation, Prediction Markets

JEL Classification: C7, C72, C9, C91

Suggested Citation

McCubbins, Mathew D. and Turner, Mark B. and Weller, Nicholas, The Theory of Minds Within the Theory of Games (May 25, 2012). Proceedings of the 2012 International Conference on Artificial Intelligence, 2012. Available at SSRN: https://ssrn.com/abstract=2066779

Mathew D. McCubbins

Department of Political Science and Law School, Duke University ( email )

210 Science Drive
Box 90362
Durham, NC 27708
United States

Mark B. Turner

Case Western Reserve University - Department of Cognitive Science ( email )

10900 Euclid Avenue
Cleveland, OH 44106-7068
United States

HOME PAGE: http://markturner.org

Nicholas Weller (Contact Author)

University of California, Riverside (UCR) ( email )

900 University Avenue
Riverside, CA 92521
United States

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