So basically, what is Game theory?

Game theory is a theoretical framework for conceiving social situations among competing players.

In some respects, game theory is the science of strategy, or at least the optimal decision-making of independent and competing actors in a strategic setting.

Quite difficult to understand it right?

Let me break it down for you.

Suppose you are playing the game of uno with your friends and you are left with last card but the person before you has a chance to throw a draw 2 card (where you need to pick 2 cards from the deck) or a simple number card which can make you win the game. Here comes the role of game theory, where his decision would decide your final payoff. So, in short game theory is an interaction between people where the decision taken by other person decides your final retribution.

The theory was brought up by **John von Neumann** a Hungarian born prodigy who in his mid-twenties excelled as one of the world’s foremost mathematician. Born into opulent family of Jews, his father was a banker and his mother came from a family of farm equipment sellers. John attended the most prestigious senior secondary school of Budapest and also learned languages and maths from tutors.

Von Neumann was diagnosed with bone cancer in 1955.

He continued to work even as his health deteriorated rapidly. In 1956 he received the Enrico Fermi Award.

There are several books written to explain the entire concept of game theory. Though it is an economy concept but it is also applied by various decision makers for making strategic decisions.

## Theory of Games and Economic Behaviour: 60th Anniversary Commemorative Edition

**Author**: John Von Neuman, Oskar Morgenstern, Harold William Kuhn, Ariel Rubinstein.**Publisher**: Princeton University Press

This book is a masterpiece that delineates the importance of game theory in the world of economics.

This book focuses of the uses of game theory to analyse real life situations be it deciding the potential candidates during elections or even negotiating salary of great baseball players. This theory was also used to analyse the vaccination policies. It may be a surprise for many to know the basis of this book is astronomy primarily and not mathematics.

This book gives an insight to the basic astronomical aspects about how these astronomical problems are made using the concepts of mathematics. This book sums up as the classic work which platforms the modern-day theory.

## Game of Theory:An Introduction

**Author**: Steven Tadelis**Publisher**: Princeton University Press

The basic idea of this book is to explain the applications and principle ideas of the game theory using the real life examples.

This book deals with explaining the reader what exactly game theory is using the day to day situations for a better understanding. The author of this book unfolds the basic rational decision making concepts which goes on till strategic ways. The book stresses upon the use of rationality for multi person decision problems.

The wide acceptance of this book is because of its simple use of techniques and language with concepts to make people understand the theory better. The major point of difference between this and other books on game theory is people with bare knowledge of maths can also understand this book easily.

The examples used in the book are not only derived only a particular field of economics or maths but also business and politics. The people searching for non mathematized introduction to this theory have this book as their best option.

## Game Theory 101: The Complete Textbook

**Author**: William Spaniel**Publisher**: CreateSpace Independent Publishing Platform

This book is written in such a way that it slowly unfolds itself as you reach towards the end of the book. The author william spaniel divides the entire book into 4 parts which is later divided into sub parts.

According to me this is an excellent job by the author as dividing the book into parts and explaning each part into details is best for a great understanding for a beginner.

Each part in the book is deeply explained using the examples so the reader could easily relate. The only drawback I found was that the author has written the book assuming the reader to be well versed in algebra.

If the reader isnt aware about the formulas of algebra , there is no explanation is given in the book itself.

## Prisoner’ Dilemma

**Author:**William Poundstone

The prisoner’s dilemma is written on the concept of social puzzle i.e the real life situations we face everyday.

This book involves a arrest of two criminals by a policeman who lacks the evidence to convict them so he uses the concept of common knowledge to question them.This involves both of the criminals choosing their own way to save themselves.

Being introduced in 1950 this book was embraced at the RAND corporation. Introduced shortly after the Soviet Union acquired the atomic bomb, the prisoner’s dilemma quickly became a popular allegory of the nuclear arms race.

This is a masterpiece of science binding the biography of the prodigy von Neumann, the cold war and the deep study of the game theory.

## Thinking Strategically

**Author**:Avinash K Dixit and Barry J.Nalebuff**Publication:**W.W Norton

The book takes us on a journey to introduce the simple concepts of Game theory but not in the simplest of the way.

Like the other books even this book takes the real life examples and situations from political, legal and sports scenarios. This guide is a bit entertaining too as the case studies are also taken from the entertainment department of films. This book explains the scenarios and also guides us through their usage in real life.

What I personally like in these books is how they not only aware us about the concept but also tells us the practical usage of it in our lives. Thinking startegically also uses the classic prisoners theory as its base.

## The Joy of Game Theory: An Introduction to Strategic Thinking

**Author**: Presh Tawalkar**Publisher**: CreateSpace Independent Publishing Platform

Giving justice to the title, We all have seen how every book in the above category relates to more or less the same ideas.

But what makes this book a bit different from others?

It is the personal touch given by the author.

The joy of game theory is a book which also introduces us the idea and concepts of game theory but the author also adds his personal anaectods in the book which gives the reader a better vision to the concept. To understand this book the reader shouldn’t be a economics or maths expert but anyone who wishes to understand the concepts.

This book also gives a brief introduction about the history of game theory and also mentions the academic papers relating to it. The practical applications in the book adds the icing on the cake.

As far as my research persisted on this topic, I found out how all the books explain the same topic (which is pretty obvious) but adding their own touch to it.

These books not only explain you the game theory but also delves into practicality of it.

I do suggest readers to go through these books if they intend to grasp the concepts of game theory.