Game Theory 101: The Complete Textbook is a no-nonsense, games-centered introduction to strategic form (matrix) and extensive form (game tree) games. From the first lesson to the last, this textbook introduces games of increasing complexity and then teaches the game theoretical tools necessary to solve them. Inside, you will find:
- All the basics fully explained, including pure strategy Nash equilibrium, mixed strategy Nash equilibrium, the mixed strategy algorithm, how to calculate payoffs, strict dominance, weak dominance, iterated elimination of strictly dominated strategies, iterated elimination of weakly dominated strategies, subgame perfect equilibrium, backward induction, forward induction, and more.
- Dozens of games solved, including the prisoner's dilemma, stag hunt, matching pennies, zero sum games, battle of the sexes/Bach or Stravinsky, chicken/snowdrift, pure coordination, deadlock, safety in numbers, Selten's game, the escalation game, the ultimatum game, the pirate game, nim, the centipede game, the hawk-dove game, the volunteer's dilemma, and rock-paper-scissors.
- Rich descriptions of important economic concepts such as commitment problems, burning bridges, and the chain store paradox.
- Advanced topics such as generalized games, comparative statics, and knife-edge conditions.
- Real world applications including wars, arms races, duopolistic competition, advertising, game shows, soccer, baseball, video games, and more.
- Crystal clear, line-by-line calculations of every step, with more than 400 images so you don't miss a thing.
- New 2013-2014 edition! Now includes the median voter theorem, Hotelling's game, second price auctions, Cournot competition, and games with no equilibria!
Quick, efficient, and to the point, Game Theory 101: The Complete Textbook is perfect for introductory game theory, intermediate microeconomics, and political science.