With cheap talk, more can be achieved by long conversations than by a single message - even when one side is strictly better informed than the other.

n overview of the landmark contributions of Robert J. Aumann, winner of the 2005 Nobel Memorial Prize in Economic Sciences.

AbstractWe exhibit a large class of simple rules of behavior, which we call adaptive heuristics, and show that they generate rational behavior in the long run. These adaptive heuristics are based on natural regret measures, and may be viewed as a bridge between rational and behavioral...