Nash equilibrium […]'s often a good model for what people will do.
Is this a fact? Where can I read about the evidence for this?
I don't have any direct citations to current social science, no, but I'll tell a plausible story, and give some indirect citations.
Often? Yes. Always or near always? No. It depends crucially on the complexity of the game, the familiarity of the person playing the game, and the intelligence of the people playing.
Most people playing a game iteratively update their strategies with each game, learning both which moves of theirs worked better, and what their opponents are likely to do.
If both sides constantly do these updates, they are driven towards a Nash...
Update: This post has also been superseded - new comments belong in the latest thread.
The second thread has now also exceeded 500 comments, so after 42 chapters of MoR it's time for a new thread.
From the first thread: