Introduction to game theory

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This book serves as a textbook for a rather extensive university course in game theory with modest mathematical prerequisites. The first chapter gives an informal overview of some topics in game theory, illustrated in the prisoners' dilemma and other matrix or bimatrix games. In Chapter 2 basic concepts such as strategy sets, payoff, expected values, common knowledge and various kinds of information are introduced. The next two chapters are devoted to noncooperative games and introduce various equilibrium concepts and analyze dynamic games. Chapters 5 and 6 are devoted to cooperative games, bargaining and coalitions. Chapter 7 discusses implementation of a social decision rule and market mechanisms, and the final Chapter 8 is devoted to evolutionary games. As indicated earlier, the mathematical demands on the reader are minimal, and there are no exercises.











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