Behavioral Game Theory Assumes

question 28

Multiple Choice

Behavioral game theory assumes

• A)people act rationally.
• B)people have limited calculation capability or psychological biases that cause them to act irrationally.
• C)that people behave differently when playing games than when "playing for real."
• D)people overcome their psychological biases.

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Definitions:

Physical State

The condition of matter with respect to structure, form, phase, or other physical properties.

Psychological Need

An essential and inherent requirement of humans to achieve psychological well-being, including needs for autonomy, competence, and relatedness.

Functional Need

The basic or essential requirement that consumers seek to fulfill with a product or service, often related to its practical or utilitarian aspect.

High-Involvement

Pertains to purchase decisions that carry a higher risk and require more thought and information gathering by consumers due to their significance.