Game theory mainly studies the interaction between formulaic incentive structures, which is a mathematical theory and method to study phenomena with the nature of struggle or competition. Game theory considers the individual's predictive behavior and actual behavior in the game, and studies their optimization strategies. Biologists use game theory to understand and predict some results of evolution.

Game theory has become one of the standard analytical tools of economics.

Game theory means that in an equal game, two people use each other's strategies to change their confrontation strategies in order to win. The idea of game theory has existed since ancient times. China's ancient works, such as The Art of War, are not only military works, but also the earliest game theory works.

At first, game theory mainly studied the winning or losing of chess, bridge and gambling. People's grasp of the game situation only stays in experience and has not developed into theory.

Extended data:

key element

1, Player: In a game or game, every participant who has the decision-making power becomes a player. A game with only two players is called a "two-player game", and a game with more than two players is called a "multiplayer game".

2. Strategy: In a game, each player has a feasible and complete action plan, that is, the plan is not an action plan at a certain stage, but a plan to guide the whole action. A feasible action plan planned by a player from beginning to end is called the player's strategy.

If everyone in a game always has finite strategies, it is called "finite game", otherwise it is called "infinite game".

3. Gain and loss: The result of the end of a game is called gain and loss. The gains and losses of each player at the end of a game are not only related to the strategies chosen by the players themselves, but also to a set of policies adopted by the players in the whole situation. Therefore, the "gain and loss" of each participant at the end of a game is a function of a set of policies set by all participants, usually called the payment function.

4. For the game participants, there is a game result.

5. This game contains equilibrium: equilibrium means equilibrium. In economics, equilibrium means that the correlation quantity is at a stable value. In the relationship between supply and demand, if a commodity market is at a certain price, anyone who wants to buy this commodity at this price can buy it and anyone who wants to sell it can sell it. At this time, we say that the supply and demand of this commodity have reached a balance. The so-called Nash equilibrium is a stable game result.

Baidu Encyclopedia-Game Theory