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Introduction to Game Theory

Game theory is just like to parlor games for example poker or bridge, most research in game theory points on how groups of people interact. Mainly there are concerned two main branches of game theory: cooperative game theory & non-cooperative game theory. A non-cooperative game theory concern with how intelligent individuals interact with each other by giving an effort to achieve their goals.Economic theory is concerned with game theory and three other main branches. These are decision theory, mechanism design theory and general equilibrium theory. All these branches are closely connected to game theory.

Game Theory can be better described as strategy theory, or it can be described as theory of interactive decision making. A strategic situation is concerned as two or more interacting players who make decisions while trying to anticipate the actions & reactions by others. Game theory is concerned with the general principles that explain how people & organizations act in strategic situations.

Game Theory Important Topics
  • Strategic-Form Gamestrategies
  • Bayesian Games
  • Global Games
  • Perfect-Bayesian Equilibrium
  • Extensive-Form Games
  • Cooperative Games
  • Reputation
  • Communication
  • Behavioral & Experimental Game Theory
  • Nash Bargaining
  • Evolutionary Game Theory
  • Stochastic Dynamics