Game theorists love studying rational agents, yet humans are obviously not rational agents.1 [1 No, not even rational agents with very complex utility functions.] Why study rational agents? In a slogan: it's rational to be rational. Even in a world with irrational agents, it is individually advantageous to be rational. It never hurts to play the rational strategy—that defines the rational strategy. So it is individually advantageous to become a rational actor. The only equilibrium is for ev...
