This chapter discusses the zero-sum two-person games. Given a two-person game with just one move for each player, the players independently and simultaneously select one among the finitely many actions resulting in a payoff for each player. If i , j are their independent choices in a play, then...

This chapter reviews some areas of public economies where the theory of games has made important contributions. Game theory has been successfully employed in economics whenever the standardprivate goodscompetitive model did not provide an adequate framework for analysis. Public economics is one...

This chapter focuses on the game and decision-theoretic models in ethics. The theory of rational behavior in a social setting can be divided into game theory and ethics. Game theory deals with two or more individuals often having very different interests who try to maximize their own (selfish or...

This chapter focuses on the bargaining set, kernel, and nucleolus. The theory of the bargaining set answers a more modest question: How would or should the players share the proceeds, given that a certain coalition structure (c.s.) has formed? From a normative point of view, the reason for...