• Table of Contents
    • Abstract
    • Keywords
    • Article
      • 1 Experimental challenges to the main axioms of choice theory
        • 1.1 The independence axiom
        • 1.2 Redefining payoffs: altruism and fairness
        • 1.3 Redefining the objects of choice: ambiguity, timing of resolution of uncertainty, and preference for commitment
      • 2 Limitations of the decision-maker
        • 2.1 Biases and heuristics
        • 2.2 Evolution and learning
        • 2.3 Cognitive limitations and game theory
      • 3 Alternative models of the individual
        • 3.1 Prospect theory and framing effects
        • 3.2 Preference reversals
        • 3.3 Imperfect recall
        • 3.4 Psychological games
        • 3.5 Neuroeconomics
      • 4 Conclusion
    • See Also
    • Bibliography
    • How to cite this article

behavioural economics and game theory

Faruk Gul
From The New Palgrave Dictionary of Economics, Second Edition, 2008
Edited by Steven N. Durlauf and Lawrence E. Blume
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Behavioural economics, broadly defined, refers to the research programme that investigates the relationship between psychology and economic behaviour. The purpose of this article is to provide an outline of behavioural economics research and to describe where research in behavioural game theory stands within this outline. The aim is not to assess the impact of particular contributions or describe and interpret specific applications. Rather, the goal is to provide an organization of the literature based on the type of departures from standard theory.
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How to cite this article

Gul, Faruk. "behavioural economics and game theory." The New Palgrave Dictionary of Economics. Second Edition. Eds. Steven N. Durlauf and Lawrence E. Blume. Palgrave Macmillan, 2008. The New Palgrave Dictionary of Economics Online. Palgrave Macmillan. 17 January 2018 <http://www.dictionaryofeconomics.com/article?id=pde2008_G000210> doi:10.1057/9780230226203.0115

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