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Stripped-Down Poker: A Classroom Game with Signaling and Bluffing

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Author Info

  • David H. Reiley
  • Michael B. Urbancic
  • Mark Walker

Abstract

The authors present a simplified, "stripped-down" version of poker as an instructional classroom game. Although Stripped-Down Poker is extremely simple, it nevertheless provides an excellent illustration of a number of topics: signaling, bluffing, mixed strategies, the value of information, and Bayes's Rule. The authors begin with a description of Stripped-Down Poker: how to play it, what makes it an interesting classroom game, and how to teach its solution to students. They describe how signaling, bluffing, and so forth emerge naturally as important features of the game and then discuss possible applications of this game-theoretic model to real-world interactions, such as litigation, tax evasion, and domestic or international diplomacy. They also suggest modifications of the game either for use in class or as student exercises. For reference, they conclude with a brief history of game-theoretic treatments of poker.

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File URL: http://hdl.handle.net/10.3200/JECE.39.4.323-341
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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal The Journal of Economic Education.

Volume (Year): 39 (2008)
Issue (Month): 4 (September)
Pages: 323-341

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Handle: RePEc:taf:jeduce:v:39:y:2008:i:4:p:323-341

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Cited by:
  1. Don J. Webber & Andrew Mearman, 2012. "Students’ perceptions of economics: identifying demand for further study," Applied Economics, Taylor & Francis Journals, vol. 44(9), pages 1121-1132, March.

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