Answer to Question #62713 in Economics for Jessie

Question

What are the main differences in the methods of game theory and experimental economics? Which method is better suited to analyze strategic behavior?

Answer 1

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.