[SE3P_to_E90]

Anybody take a course in Game Theory?
i.e. nash equilibria, pure/mixed [dominant/dominated] strategies, IEDS solutions, etc...?

if so, what are your opinions on it?

[BMW F22]

I think most people in real life wouldnt even think about using it (or ever have the need for it).

[SE3P_to_E90]

i got in trouble for saying that... lol
have you taken game theory?
i mean, there's so many variables in mixed strategies and incentive schemes, yet, no part of game theory takes intution-based-biases into consideration... what's that about?

[achien]

Originally Posted by BMWE90

I think most people in real life wouldnt even think about using it (or ever have the need for it).

Actually, game theory tries to mimic life in reality.

The only difference is game theory tries to document every possible scenarios and comes up with a rational decision.

This is good for management to "cover up" their ass if/when the business do not work out. They can always go back and show the "boss" to justify why they did "what they did".

If you are the "real" boss, you don't need this BS, except when you beg for funding from VC or fund managers.

[SE3P_to_E90]

Originally Posted by achien

Actually, game theory tries to mimic life in reality.

The only difference is game theory tries to document every possible scenarios and comes up with a rational decision.

This is good for management to "cover up" their ass if/when the business do not work out. They can always go back and show the "boss" to justify why they did "what they did".

If you are the "real" boss, you don't need this BS, except when you beg for funding from VC or fund managers.

+1... that's why i say most people take into consideration their intuition rather than look at every goddamn possible scenario...

however, it may be a good concept to know if you're [a firm] considering emergence into a new market and speculating profits based on competition, etc...

nonetheless, i thought it was one of [more] useless topics associated with economic theory...

[SE3P_to_E90]

as all the people involved in economics know,

Economics is a fairy tale.
And we are all in the business of reading and telling fairy tales...

[Bimmerista]

ceteris paribus game theory works every time.

Problem is everything else rarely ever remains the same.