Basics and fundamentals of Game theory Lecture 1.ppt

In business and economics literature, the term 'game' refers to a situation of conflict and competition in which two or more competitor(or participant) are involved in the decision making process in anticipation of certain outcome over a period of time.

2. Selected Topics in Mathematics (1)Selected Topics in Mathematics (1)
MT 423MT 423
Introduction to Game Theory
11
stst
semester semester
2024-20252024-2025

3. Textbook
There is no official textbook for this course.
We will be using online resources for the
majority of the class. Here is a list of texts
that could be helpful for topics in this course:
J. Watson. Strategy: An Introduction to
Game Theory, Norton, 2002.
P.K. Dutta. Strategies and Games: Theory and
Practice, MIT, 1999.
Osborne, Martin J., An Introduction to Game
Theory, Oxford University Press, 2003

4. COURSE EVALUATION
60% Final Exam (90 Mark)
40% Practical (60 Mark)
(30 midterm exam-15 Oral exam-15
Assignments )

6. Introduction

7. What is Game Theory About?
Analysis of situations where conflict of
interests are present
Goal is to prescribe how conflicts can be resolved
2
2
Game of Chicken
driver who steers away looses
What should drivers do?

17. Applications of Game Theory
Theory developed mainly by mathematicians and economists
contributions from biologists
Widely applied in many disciplines
from economics to philosophy, including computer science (AI)
goal is often to understand some phenomena

19. Thank you