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This paper discusses the implications of learning theory for the analysis of Bayesian games. One goal is to illuminate the issues that arise when modeling situations where players are learning about the distribution of Nature's move as well as learning about the opponents' strategies. A second...
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errors. Even though communication is cheap talk, we find that the majority of messages were honest (although the majority of … participants lied at least occasionally). As a result, communication has a positive effect on cooperation when the payoff matrix … makes the returns to cooperation high; when the payoff matrix gives a lower return to cooperation, communication reduces …
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