Classical Game Theory
Game theory was conceived by John von Neumann to mathematically determine optimal strategies in situations in which a competition between adversaries is taking place. A contest involves a number of players, all of whom have a choice of moves for the game. Games can be a single round or repetitive. The approach a player has in making his or her moves constitutes the player's "strategy". Rules govern the outcome for the set of moves taken by the players and outcomes produce payoffs for the various players; rules and resulting payoffs can be expressed as decision trees or in a payoff matrix.
Classical game theory essentially requires that all of the players make rational choices (that is, making their strategic choice on a wholly rationally-determined evaluation of probable outcomes). As a consequence, it is fundamental in game theory that each player must consider the strategic analysis that the players' opponents are making in determining that his or her own strategic choice is appropriate.
Read more about this topic: Evolutionary Game Theory
Famous quotes containing the words classical, game and/or theory:
“Several classical sayings that one likes to repeat had quite a different meaning from the ones later times attributed to them.”
—Johann Wolfgang Von Goethe (1749–1832)
“A Stander-by is often a better judge of the game than those that play.”
—Samuel Richardson (1689–1761)
“... the first reason for psychology’s failure to understand what people are and how they act, is that clinicians and psychiatrists, who are generally the theoreticians on these matters, have essentially made up myths without any evidence to support them; the second reason for psychology’s failure is that personality theory has looked for inner traits when it should have been looking for social context.”
—Naomi Weisstein (b. 1939)