Bayesian Truth Serum // Using MATH to catch liars
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How can we figure out how many people cheat on their homeworks or their taxes? We could just ask them, but they might lie! In this video we will explore a fascinating piece of mathematics called the Bayesian Truth Serum that leverages the power of Bayes' Theorem and Bayesian Analysis to create a special type of survey that incentivizes telling the truth. Telling the truth actually becomes something called a Bayesian Nash Equilibrium. Using this technique, researchers were able to find a much higher prevalence of contract-cheating on homework than previously reported.
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