Repeated Games and Tendencies

In This Chapter

  • The role of repetition in strategy
  • Some irrationality can be rational
  • Play nicely and carry a big stick
  • Nice guys can finish first

This chapter is devoted to games that are played more than one time. It makes sense to study repeated games—aside from their theoretical interest—since we repeat our interactions so frequently in the real world. The first question that comes to mind is whether players should strategize differently when the game is repeated, as opposed to played only once. The second question is, does actual play in repeated games follow what theory dictates?

One of my objectives ...

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