Fundamentals of Game Theory

Author: Robert Gibbons
Publisher:
Publication Date: 1999-03-01
Features: "Game Theory: A Nontechnical Introduction" is an outstanding work introducing game theory: clear, precise, and supplemented with rich examples. This book is a must-read for applied economists who have not yet delved into game theory, as well as the best textbook for professors teaching this course (David Kreps, Stanford University). The strength of this book lies in drawing on a wealth of examples from the newest developments in game theory. Gibbons excels at simplifying abstract problems, making him a true genius in this regard, which greatly piques interest in the theory. Most of the examples themselves are fascinating—almost impossible to put down. This perfect combination of theory and application is exactly what readers hope such books to achieve (Shoven Rosen, University of Chicago). This book is highly commendable in its integration of theory and application. The examples have become an integral part of each chapter, not only providing credible illustrations of technical methods but also introducing the newest advancements in the field of economics. It is a must-read for students and researchers who wish to master the application of game theory (James Poterba, MIT). This book introduces one of the most widely used analytical tools in modern economics to a broad audience, not just those studying game theory but also those planning to establish (or even just use) game theory models in applied economics. Gibbons emphasizes both the pure theory and its applications in economics; formal discussions of abstract game theory are not the focus of this book, as extensive applications demonstrate that similar problems arise across various fields of economics and can all be analyzed using the same game theory tools. To highlight the vast potential for this theory, the book draws examples from multiple branches of economics—industrial organization, labor economics, macroeconomics, financial theory, and international economics. (The author is an assistant professor at Johnson).