Nash Equilibrium

A Nash equilibrium is a situation in a game where no player can benefit by changing their strategy while the other players keep their strategies unchanged. In simpler terms, it's a stable state where everyone is making the best decision they can, given what their opponents are doing. Each player's strategy is optimal, given the strategies of others. This means that if everyone sticks to their chosen strategy, no one has an incentive to switch because it wouldn't improve their outcome. The concept helps us understand strategic interactions in economics, politics, and various social situations.