Nash bargaining solution

The Nash bargaining solution is a concept from game theory that helps two parties decide how to divide something they both want, like a resource or profit. It suggests an agreement that is fair and takes into account what each party would get if they couldn't reach a deal. The solution focuses on maximizing the benefits for both sides while ensuring that neither party ends up worse off than if they had to go without an agreement. This method provides a balanced way to resolve negotiations, promoting cooperation and mutual satisfaction.