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 Anticipate, then ACT! Game Theory: Anticipating Reactions for Winning Actions is a short (135 pp), inexpensive, accessible introduction to Game Theory, the science of strategy. Designed to be highly readable, current, and relevant, this book makes a perfect companion to be used as a game theory module in microeconomics, business strategy, or MBA economics courses where textbooks often only have one or two chapters on strategy and information theory. It also provides an introduction to anyone wanting to learn the basics of strategic analysis. This book is divided into two parts. Part 1 covers simultaneous and sequential "matrix" games in depth, discussing Nash Equilibria, dominant and dominated strategies, iterated dominance, subgame perfection, first and second mover advantages, and repeated games and cooperation. The second part covers other types of games, including information games (moral hazard and adverse selection), business pricing and quantity setting games, and location games with many applications to real world settings. These settings include hiring and rewarding employees, working in teams, and customer relations. Resources to For Learning Game TheoryOn this site, you will find YouTube videos, printable PDFs with the game matrices and trees from the book, and other resources to supplement the information from the book. Dr. Burkey also has almost 300 YouTube videos on Economics, Statistics, GIS, Computing, and Econometrics at www.burkeyacademy.com. Chapter 1 Resources More information about the "Friends" Episode mentioned in the Chapter: Chapter 2 Resources Video: Game Theory Video B Simultaneous Games and Nash Equilibria and Dominant Strategies Video: How to Calculate Mixed Strategy Nash Equilibria! (Not for the faint of heart) Chapter 3 Resources Chapter three Extra!: Game Theory and Terrorism (coming soon) Chapter 4 Resources Video: Evolutionary Stable Strategies. In Chapter 4 I discuss several refinements to Dominant Strategies and Nash Equilibria, including iterated and weak dominance, a sort of trembling hand refinement, and focal points. Here I add a new topic discussed in Biology. Chapter 5 Resources Video: Game Theory C Sequential Games: A quick review of simultaneous games, and a first look at sequential games, backward induction, and subgame perfect equilibria. Video: Game Theory D Dating Game: Another example of solving a simultaneous game and its sequential counterpart. Chapter 6 Resources Links to some papers about Cooperation: Chapter 7 Resources Eric Rasmussen's TextBook: Games and Information Article about Scammer's Emails in The Economist: "Blatancy and Latency" Chapter 8 Resources Life Table Link: CDC US Life Tables, 2007. On Risk Homeostasis: Wilde, G. Target risk. On De-shopping: “Return to vendor: A dress on loan” About Online Price discrimination: “Caveat emptor.com” Chapter 9 Resources Chapter 10 Resources An interesting blog post about the Hotelling location game. Note: Of course, I disagree about his conclusion about gas stations clustering for this reason. I think that zoning, the location of highway exits, and the fact that his map is of 1,000 square miles and millions of people explains the perceived clustering better. Chapter 11 Resources Chapter 12 Resources |