Game Theory in Public Choice

Game theory in public choice examines how individuals make decisions in political and economic settings, considering the strategies and interactions of multiple players. It focuses on how voters, politicians, and interest groups strategize to maximize their own preferences. For example, a politician may choose policies based on how they think voters will react, while voters may decide whether to vote based on the perceived impact of their vote. This analysis helps us understand the complex dynamics of decision-making, incentives, and outcomes in public governance, highlighting the interplay between individual choices and collective results.