A Brief Introduction to the Basics of Game Theory

42 points by 7777777phil2 days ago

2 comments

bob10291 hour ago
I think a basic overview of game theory should also discuss Pareto optimality to some extent. You can have 100% of participants operating in a locally-ideal way while still creating problems in aggregate.
- SaltyBackendGuy59 minutes ago
  Tragedy of the commons / bounded rationality for example.<p><a href="https://en.wikipedia.org/wiki/Tragedy_of_the_commons" rel="nofollow">https://en.wikipedia.org/wiki/Tragedy_of_the_commons</a>
- perfect-blue40 minutes ago
  Pareto efficiency is a welfare economics concept. In game theory, the closest you can get to that is a Nash equilibrium.
  - emil-lp38 minutes ago
    Pareto optimal is definitely a core concept in game theory. It says that no other vector beats it in every dimension (or at least as good in all but one, and better in at least one).
Nifty392935 minutes ago
Why Flip a Coin is a really great book about game theory. Easy to read, very little assumed knowledge, and lots of very interesting and counterintuitive examples and situations. Also, despite the introductory nature - still gets into the math in a rigorous way.