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On that a player would take at each of his information sets (including singleton information sets). "Color" in a branch at each of her information sets in the game tree. The strategy is the entire picture, and changing just one of the branches being colored represents a di erent strategy. For the example of an owner deciding whether to hire a worker, not hire the worker, or delegate the decision, possible strategies for the owner are: Dh, Dn, Sh, Sn . Note that (i) it is a good idea to use.
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Proles FAQ
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The three basic elements of any game are: A set of participants, or "players." The moves, or "actions," that each player may make. The scores, or "payoffs," that each player earns at the end of the game.
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The normal-form representation of a game includes all perceptible and conceivable strategies, and their corresponding payoffs, for each player. In static games of complete, perfect information, a normal-form representation of a game is a specification of players' strategy spaces and payoff functions.
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Game theory studies interactive decision-making, where the outcome for each participant or "player" depends on the actions of all. If you are a player in such a game, when choosing your course of action or "strategy" you must take into account the choices of others.
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Game theory is a branch of applied mathematics that provides tools for analyzing situations in which parties ( called players) make decisions that are interdependent. This interdependence causes each player to consider the other player's possible decisions( or strategies) in formulating strategy.
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The principle behind game theory is that people behave rationally, and make decisions based on the best possible outcome for them, given the likely behaviour of others.
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The game theory is said to be the science of strategies which comes under the probability distribution. It determines logical as well as mathematical actions that should be taken by the players in order to obtain the best possible outcomes for themselves in the games.
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1. The extensive-form representation, in which the above information is explicitly described using game trees and information sets; 2. The normal-form (or strategic-form) representation, in which the above informa- tion is summarized by use of strategies.
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Game theory is a theoretical framework to conceive social situations among competing players. The intention of game theory is to produce optimal decision-making of independent and competing actors in a strategic setting.
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