American Economic Journal: Microeconomics
no. 3, August 2019
We develop a framework for analyzing multidimensional reasoning in strategic interactions, which is motivated by two experimental findings: (i) in games with a large and complex strategy space, players tend to think in terms of strategy characteristics rather than the strategies themselves; (ii) in their strategic deliberation, players consider one characteristic at a time. A multidimensional equilibrium is a vector of characteristics representing a stable mode of behavior: a player does not wish to modify any one characteristic. The concept is applied to several economic interactions, where a vector of characteristics, rather than a distribution of strategies, is identified as stable.
Arad, Ayala, and Ariel Rubinstein.
"Multidimensional Reasoning in Games: Framework, Equilibrium, and Applications."
American Economic Journal: Microeconomics,
Consumer Economics: Theory
Micro-Based Behavioral Economics: Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making