As with the previous editions, this fourth edition relies on
teaching by example and the Karplus Learning Cycle to convey the
ideas of game theory in a way that is approachable, intuitive, and
interdisciplinary. Noncooperative equilibrium concepts such as Nash
equilibrium, mixed strategy equilibria, and subgame perfect
equilibrium are systematically introduced in the first half of the
book. Bayesian Nash equilibrium is briefly introduced. The
subsequent chapters discuss cooperative solutions with and without
side payments, rationalizable strategies and correlated equilibria,
and applications to elections, social mechanism design, and
larger-scale games. New examples include panic buying, supply-chain
shifts in the pandemic, and global warming.
General
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