Next Article in Journal / Special Issue
Competitive Centipede Games: Zero-End Payoffs and Payoff Inequality Deter Reciprocal Cooperation
Previous Article in Journal
The Evolvability of Cooperation under Local and Non-Local Mutations
Article Menu

Export Article

Open AccessArticle
Games 2015, 6(3), 251-261; doi:10.3390/g6030251

Unfazed by Both the Bull and Bear: Strategic Exploration in Dynamic Environments

Department of Experimental Psychology, University College London, 26 Bedford Way, London WC1H 0AP, UK
*
Author to whom correspondence should be addressed.
Academic Editors: Andrew M. Colman and Briony D. Pulford
Received: 8 July 2015 / Revised: 10 August 2015 / Accepted: 12 August 2015 / Published: 18 August 2015
(This article belongs to the Special Issue Psychological Aspects of Strategic Choice)
View Full-Text   |   Download PDF [1031 KB, uploaded 18 August 2015]   |  

Abstract

People in a changing environment must decide between exploiting options they currently favor and exploring alternative options that provide additional information about the state of the environment. For example, drivers must decide between purchasing gas at their currently favored station (i.e., exploit) or risk a fruitless trip to another station to evaluate whether the price has been lowered since the last visit. Previous laboratory studies on exploratory choice have found that people choose strategically and explore alternative options when it is more likely that the relative value of competing options has changed. Our study extends this work by considering how global trends (which affect all options equally) influence exploratory choice. For example, during an economic crisis, global gas prices may increase or decrease at all stations, yet consumers should still explore strategically to find the best option. Our research question is whether people can maintain effective exploration strategies in the presence of global trends that are irrelevant in that they do not affect the relative value of choice options. We find that people explore effectively irrespective of global trends. View Full-Text
Keywords: decision-making; strategic choice; exploration and exploitation; dynamic environments; global trends decision-making; strategic choice; exploration and exploitation; dynamic environments; global trends
This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited. (CC BY 4.0).

Scifeed alert for new publications

Never miss any articles matching your research from any publisher
  • Get alerts for new papers matching your research
  • Find out the new papers from selected authors
  • Updated daily for 49'000+ journals and 6000+ publishers
  • Define your Scifeed now

SciFeed Share & Cite This Article

MDPI and ACS Style

Riefer, P.S.; Love, B.C. Unfazed by Both the Bull and Bear: Strategic Exploration in Dynamic Environments. Games 2015, 6, 251-261.

Show more citation formats Show less citations formats

Related Articles

Article Metrics

Article Access Statistics

1

Comments

[Return to top]
Games EISSN 2073-4336 Published by MDPI AG, Basel, Switzerland RSS E-Mail Table of Contents Alert
Back to Top