I hate you
Game Theory
,Ek1
Perfectly competitive settings >
-
no
strategy since
everyone is small and
the
no one can
affect economic environment.
be considered .
impact Others actions must
Large players- > environment .
An equilibrium is reached when when is doing the best
everyone
and
they can given their circumstances
given what
everyone
else
is doing
.
static 10 side games
game
·
-
Of
↳ Better
options for Japanese
=>
Both sides chose North
,is
aSamea strategies and rules of interaction
game form
and
↳
information sets payoffs
Contigency plan
·
: how to react for each outcome (preprogrammed strate
Normal
form games :
complete information and decisions are made
simultaneously
·
von
Neumann-Morgensten (uNM)
utility :
utility is the expectation of utility
over possibilities
behaviours
·
Beliefs are held over
of others
·
Mutual Rationality : seek to maximise own vNM utility given
beliefs
, Common
·
knowledge of Rationality : knows that each
player is rational and
that knows that is rational
everyone everyone
understand game form knows do about
·
:
everything to game
Normal
H
formDuea form is
n
~ A collection of players !1 , ,
2
....
·
A set of strategies Si for each player i
↳ S is the set of all
strategies for all
players
↳ S =
PS , ....
Sn is a
particular instance of strategies
used by
players
Game Theory
,Ek1
Perfectly competitive settings >
-
no
strategy since
everyone is small and
the
no one can
affect economic environment.
be considered .
impact Others actions must
Large players- > environment .
An equilibrium is reached when when is doing the best
everyone
and
they can given their circumstances
given what
everyone
else
is doing
.
static 10 side games
game
·
-
Of
↳ Better
options for Japanese
=>
Both sides chose North
,is
aSamea strategies and rules of interaction
game form
and
↳
information sets payoffs
Contigency plan
·
: how to react for each outcome (preprogrammed strate
Normal
form games :
complete information and decisions are made
simultaneously
·
von
Neumann-Morgensten (uNM)
utility :
utility is the expectation of utility
over possibilities
behaviours
·
Beliefs are held over
of others
·
Mutual Rationality : seek to maximise own vNM utility given
beliefs
, Common
·
knowledge of Rationality : knows that each
player is rational and
that knows that is rational
everyone everyone
understand game form knows do about
·
:
everything to game
Normal
H
formDuea form is
n
~ A collection of players !1 , ,
2
....
·
A set of strategies Si for each player i
↳ S is the set of all
strategies for all
players
↳ S =
PS , ....
Sn is a
particular instance of strategies
used by
players
