The Complete Idiot's Guide to Game Theory

Part1

The Basics

Now it’s time to reveal what game theory is all about. I first introduce the different types of games and what purposes they serve. For instance, zero sum games are the most basic games, in which one player gains what the other loses. Most situations in the world, though, are too complex to be captured by zero sum games. When there’s synergy, for example, both players can profit, and these situations call for nonzero sum games.

There are many other game models, too. Games vary according to the amount of information the players have, and I introduce the various ways in which the available information changes the picture.

Once ...