1300 36 33 32

Quantal Response Equilibrium presents a stochastic theory of games that unites probabilistic choice models developed in psychology and statistics with the Nash equilibrium approach of classical game theory. Nash equilibrium assumes precise and perfect decision making in games, but human behavior is inherently stochastic and people realize that the behavior of others is not perfectly predictable. In contrast, QRE models choice behavior as probabilistic and extends classical game theory into a more realistic and useful framework with broad applications for economics, political science, management, and other social sciences. Quantal Response Equilibrium spans the range from basic theoretical foundations to examples of how the principles yield useful predictions and insights in strategic settings, including voting, bargaining, auctions, public goods provision, and more. The approach provides a natural framework for estimating the effects of behavioral factors like altruism, reciprocity, risk aversion, judgment fallacies, and impatience. New theoretical results push the frontiers of models that include heterogeneity, learning, and well-specified behavioral modifications of rational choice and rational expectations. The empirical relevance of the theory is enhanced by discussion of data from controlled laboratory experiments, along with a detailed users' guide for estimation techniques. Quantal Response Equilibrium makes pioneering game-theoretic methods and interdisciplinary applications available to a wide audience.

Buy Quantal Response Equilibrium book by Jacob K. Goeree from Australia's Online Bookstore, Boomerang Books.

Book Details

ISBN: 9780691124230
ISBN-10: 069112423X
Format: Hardback
(229mm x 152mm x 28mm)
Pages: 328
Imprint: Princeton University Press
Publisher: Princeton University Press
Publish Date: 29-Aug-2008
Country of Publication: United States

Reviews

» Have you read this book? We'd like to know what you think about it - write a review about Quantal Response Equilibrium book by Jacob K. Goeree and you'll earn 50c in Boomerang Bucks loyalty dollars (you must be a member - it's free to sign up!)

Write Review


Author Biography - Jacob K. Goeree

Jacob K. Goeree is a Distinguished Research Professor and head of the Economics Discipline Group at the University of Technology Sydney. Charles A. Holt is the A. Willis Robertson Professor of Political Economy at the University of Virginia. Thomas R. Palfrey is the Flintridge Foundation Professor of Economics and Political Science at the California Institute of Technology.