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The Bayesian Games:
Each and every business is in an economic competition. The deciding bodies in each organization is also in the same competition. The Bayesian games is a unique way to judge them.
In this theory or game it is assumed that the players might just lack the perfect information of each other. More than just perfect it is assumed that they may be half knowledgeable about each other.
In this scenario a many probabilities are calculated. Also many other considerations are made. These are done only to study the types of decisions that they will make. Will it profit the economy and the organization for sure?
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Advantages of this approach in economics:
There are various advantages of this approach in economics for sure. The following are some of the best available:
- Solid results:
Strong assumptions are made in this theory. All of these assumptions and probabilities can be supported with the help of logic, facts and examples from the real life. It is absolutely what helps the decision makers to come into a good conclusion for sure.
- Predictable solutions:
It is a safe method. The things here are definitely not unpredictable. One can ensure that the results can be quite predictable with the help of this. And thus one can absolutely make sure that they do not have to go through with the worst results of course.
- Logical interferences:
As already mentioned, nothing other than logic and fact beats this theory. Of course all the interferences made are also made on the basis of data collected. These are really the exact facts that one may want to know of.
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