Flashcard: Strategic Interactions in Game Theory — 10 carte

Players and Strategies

Players aim to maximize payoffs; strategies are complete action plans.

Players — definition?

Decision-makers aiming to maximize payoffs.

Payoff Structures

Payoffs are outcomes assigned to strategy profiles, influencing choices.

Strategies — types?

Pure (specific action) or mixed (probabilistic).

Game Types

Classified as cooperative, non-cooperative, symmetric, zero-sum, etc., affecting analysis.

Payoffs — role?

Numerical rewards based on strategies.

Normal Form — purpose?

Represents simultaneous games in a matrix.

Strategy Profile — meaning?

Set of strategies, one per player.

Nash Equilibrium — concept?

Stable strategies where no one benefits from changing.

Dominated Strategy — definition?

Worse than another strategy regardless of others.