Game Theory

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Game Theory: More than just a Game
By: Abdisalam Hassan
For: Mr. Kirichenko
Game Theory
The most appropriate term I could find to describe game theory is a theory of competition in expressions of gains as well as losses amongst players.There is many types of games in our modern world as we know it. There are video games; card games mind games field games (e.g. soccer). However those are not the kind of games that I will be focusing on today. The kind of game that I am talking about focuses more on strategy and game outcome. You might be wondering why I would be talking about games in a pre-calculus class. Well this is not your average game that we are talking about here. Game theory is a branch of mathematics used in social sciences (most notably economics) that studies strategic situations in which individuals or organizations to maximize their wins or minimize their losses to any extent. Game theory was created to mathematically capture human behaviour in which an individual’s actions are solely based on the choices of their opponent’s choices. It helps address and take on social issues of almost any kind. Because just as most people generally try to win games we also strive to achieve our interests and goals. Whereas game theory was created first to better understand competition-like scenarios in which one person does better at another’s expense. However today
Game theory might sound like a peculiar math topic because it seems like something you would use in a game based solely on strategy such as chess or poker. Game theory was first created in economics to better understand the relationship between firms, markets and the consumer. Ever since game theory started being used in economics it has stretched out to sociological, psychological and political behaviours as well. The application of game theory in political sciences focuses mainly around the areas of political economy and social choice theory. Political economy is a branch...