Game Theory: An Introduction

Game theory is a mathematical framework for analyzing situations where individuals or groups make decisions that affect each other's outcomes. It helps explain strategic interactions in competitive scenarios, such as business, politics, and social behavior. Players must consider others' choices and reactions while formulating their own strategies. Key concepts include "cooperation," where players work together for mutual benefit, and "conflict," where they seek to maximize their own gain at the expense of others. By modeling these interactions, game theory provides insights into optimal decision-making and the dynamics of competition and collaboration.