1. The World of Game Theory Flashcards
1
Q
What is game theory?
A
The study of interactive, strategic decision making among rational individuals
2
Q
What can game theory help with?
A
Determining how to play a given game or how to change it so it suits one better
3
Q
What is the approach of game theory?
A
Use simple examples to develop general principles that help with superior decision making
4
Q
What are the three components of game theory?
A
Players, strategy, and payoff
5
Q
What are players?
A
Decision making agents in a game
6
Q
What is strategy?
A
Specifications for decisions for all possible scenarios
7
Q
What is a payoff?
A
Reward or loss a player experiences when everyone follows their respective strategies
