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JOURNAL OF APPLIED BUSINESS AND ECONOMICS
The Cognitive Problem of the Behavioral Decision Theory Through Game Theory: Biases and Heuristics
Author(s): Alexandre Morais da Rosa
Citation: Alexandre Morais da Rosa, (2021) "The Cognitive Problem of the Behavioral Decision Theory Through Game Theory: Biases and Heuristics," Journal of Applied Business and Economics, Vol. 23, Iss.3, pp. 178-192
Article Type: Research paper
Publisher: North American Business Press
Abstract:
This paper examines an alternative approach to the analysis of decision-making under the lens of Game Theory. To do so, this text seeks to demonstrate through the inductive method that this bias is capable of providing the necessary instruments for a better understanding of judicial decisions, distancing itself from the usual once the approach is modified. It deals with the problem of decision theory regarding the lack of explanation about how decisions are produced in order to stimulate the dialogue and the application of multidisciplinary content, reflecting the theoretical-practical concern in indicating the correct form of procedural rationality. Faced with literature review, this paper highlights the evidence that the introduction of game theory to the process is able to improve the procedural reading in an uncertain environment. In this context, the understanding of heuristics and biases through game theory makes it possible to realistically establish the structure of human interactions mediated by the process. The relevance of this issue is the repercussion of judicial decisions on social and procedural relations as a whole.
