What is K game theory?
Level-k theory assumes that players in strategic games base their decisions on their predictions about the likely actions of other players. According to level-k, players in strategic games can be categorized by the “depth” of their strategic thought. It is thus heavily focused on bounded rationality.
What is the main purpose of the games theory approach?
game theory, branch of applied mathematics that provides tools for analyzing situations in which parties, called players, make decisions that are interdependent. This interdependence causes each player to consider the other player’s possible decisions, or strategies, in formulating strategy.
What is called Nash equilibrium?
Nash Equilibrium represents an action profile for all players in a game and is used to predict the outcome of their decision-making interaction. It models a steady state (i.e., a combination of strategies of all players) in which no player can benefit by unilaterally changing its strategy.
What is a game theory of mind?
Game theory of mind This paper introduces a model of ‘theory of mind’, namely, how we represent the intentions and goals of others to optimise our mutual interactions. We draw on ideas from optimum control and game theory to provide a ‘game theory of mind’. First, we consider the representations of goals in terms of va …
Is the theory of mind model better than the fixed model?
It can be immediately seen that the theory of mind model has a higher likelihood than the fixed model. Under theory of mind models, we inferred the most likely sophistication level of the subjects was Ksub = 5.
Is the posterior probability of theory of mind higher than fixed?
We evaluated the posterior probability of theory of mind by marginalising over the bi-partition of fixed and theory of mind models, and it can be seen that the likelihood of the theory of mind model is substantially higher than the fixed model.