SECTION: Features: Incentivizing Truthfulness
Do Humans Play Equilibrium? Modeling Human Behavior in Computational Strategic Systems
Online auctions and other computational strategic systems where human users interact are usually analyzed based on the assumptions that the users are rational and reach an equilibrium. This article shows that these modeling assumptions lead to significant errors, and that using behaviorally appropriate assumptions is important for achieving credible predictions in such systems.
By Gali Noti, September 2017