Answer to Question #62713 in Other Economics for Jessie
What are the main differences in the methods of game theory and experimental economics? Which method is better suited to analyze strategic behavior?
Experimental economics is the application of experimental methods to study economic questions. Game theory is the study of mathematical models of conflict and cooperation between intelligent rational decision-makers. Game theory is better for the analyzing strategic behaviour, because it can provide good enough model to explain such behaviour as a game between several players.