[abdullahkhalids]

Game theory definitely does not require rational agents. Game theory says there are agents with certain specified strategies. Whether a strategy is rational from the underlying theory of value the agent adopts is completely separate matter. For example, its very common to study agents who always do one action no matter what others do or what the reward function is. Hard to call such actors rational, but that does not stop as from studying them.

[runarberg]

When I said rational I meant it in this way. That rational agents will perform in a way in which maximizes their utility (or reward function). In psychology we call this theory homo economicus[1]. Regardless of theories of value, perceived rewards, and utilities, human beings have biases, prejudice, superstition, dogma, etc. etc. In real economies these non-strategic behaviors are consistently observed. This is why I say that economics are not just game theories, they are psychology, sociology, religion, as much as they are zero-sum games between actors.

> Hard to call such actors rational, but that does not stop as from studying them.

This is precisely why I object to your first post. “Shut up and do the math” has not done the wonders which string theorists had hoped. Game theory is a perfectly fine way to mathematics, and to study certain strategies, but it tells us nothing about the nature of economies in the real world.

https://en.wikipedia.org/wiki/Homo_economicus