As with the previous editions, this fourth edition relies on teaching by example and the Karplus Learning Cycle to convey the ideas of game theory in a way that is approachable, intuitive, and interdisciplinary. Noncooperative equilibrium concepts such as Nash equilibrium, mixed strategy equilibria, and subgame perfect equilibrium are systematically introduced in the first half of the book. Bayesian Nash equilibrium is briefly introduced. The subsequent chapters discuss cooperative solutions with and without side payments, rationalizable strategies and correlated equilibria, and applications to elections, social mechanism design, and larger-scale games. New examples include panic buying, supply-chain shifts in the pandemic, and global warming.
Contents:
Interactive Decisions:
Conflict, Strategy, and Games
Some Foundations
Equilibrium in Normal Form Games:
Dominant Strategies and Social Dilemmas
Nash Equilibrium
Games with Two or More Nash Equilibria
Three-Person Games
Probability and Game Theory
Mixed Strategy Nash Equilibria
Sequential and Repeated Play:
Sequential Games
Repeated Play
Indefinitely Repeated Play
Cooperation:
Cooperative Games in Coalition Function Form
Cooperative Games Without Coalition Functions
Advanced Topics:
N-Person Games
Duopoly Strategies and Prices
Rationalizable Strategies
Trembling Hands and Correlated Strategies
Voting Games
Social Mechanism Design
Games, Experiments, and Behavioral Game Theory
Evolution and Adaptive Learning
Readership: Undergraduates and graduates studying game theory or those interested to know more about game theory. Key Features:
The very extensive informal examples distinguish this book from most others
New examples include panic buying, supply-chain shifts in the pandemic, and global warming