Game theory is the study of mathematical models of conflict and cooperation between intelligent rational decision-makers.
Zero Sum Game
One person's gains result in losses for the other participants so the net benefit is zero.
A | B | |
---|---|---|
A | 1, -1 | 3, -3 |
B | 0, 0 | -2, 2 |
Game Theory in Real Life
(besides waffles)
Relationships
Presidential Election
Economics
Opportunity Cost - The loss of potential gain from other alternatives when one alternative is chosen