From Stephen Johnson, Eugene, Oregon, US
You reported on a game theory simulation that showed people failed to reach a state of rational action, even after multiple failures and repeated feedback. This was said to be in variance with economic theories. However, the result is in line with over 50 years of research by psychologists on micro-economic decision making (18 May, p 15).
Studies by Paul Slovic and Daniel Kahneman, plus others, show that judgmental heuristics and biases work to prevent rational economic behaviour. Very few economists today believe in rational human action economic theories.
