Abstract
This paper analyzes game theory with respect to its theoretical foundations and examines Von Newmann's and Morgenstern's ideas that are related to the theory. The paper's observations regarding game theory are then tailored to a more focused examination of how game theory might be applied within the context of economics and business, and the paper then develops a useful model relating game theory to an online bidding format. The paper explains that this model allows the reader to more fully appreciate how both a business and a commercial economic platform could apply game theory.

From the Paper
"This document discusses the concept and underlying rationale associated with game theory. Game theory is analyzed with respect to its theoretical foundations and Von Newmann's and Morgenstern's ideas related to the theory. These observations regarding game theory are then tailored to a more focused examination of how game theory might be applied within the context of economics and business and a useful model relating game theory to an online bidding format is developed. This model allows the reader to more fully appreciate how both a business and a commercial economic platform could apply game theory."

Tags:game, theory, von neumann

Abstract
This paper reviews the historical development of game theory, as found in the work of Neumann, Nash, and others. This paper shows how the basic outlines of game theory are drawn to show how it developed as a theory for decision making. The paper then suggests the historical events driving the mathematicians who developed the theory, as a means of showing how world events were responded to in the work of these men.

From the Paper
"In the mid-Twentieth Century, as the world was preparing for, involved in, and coming out of World War II, a number of mathematicians came to hold great importance for their development of an economics model called game theory in which rational (and irrational) actors are pitted against each other in theoretical constructs to determine the choices available to persons living in the world. The most important among this group were John von Neumann and Oscar Morgenstern, who virtually invented the concept of game theory in their book Theory of Games and Economic Behavior, and John Nash, who greatly expanded upon the concepts of game theory to include complex games with multiple players. The applications of game theory were many, but perhaps the most important were found in the struggle of military powers around geopolitical matters."

Tags:game, theory, development

Abstract
This paper analyzes Marxist economics from the perspective of foreign relations and how foreign relations is conducted based on the benefits that one nation can receive in relations at the expense of other nations. This Marxist perspective is compared to modern game theory and its sub-component, coalition theory in that game theory's basic assumption of zero-sum outcomes is a Marxist interpretation of capitalism in acceptable guise.

From the Paper
"Marxist economics has suffered in stature chiefly due to its being co-opted by the various communist political regimes that relied on its basic assumption upon which to construct their derivative economic models; most commonly of which was the Soviet economic model with its central planning and misconstrued allocation of resources (Wood, 2004). However, Marxist economics were never fully understood by these communist regimes and certainly not faithfully applied. At its core, Marxist economics accurately reflects the innate shortcomings of free market capitalism and the political structure that arise from them. One of the key differences that Marxist economics points out between itself and that of capitalist economics is the valuation of labor or the labor theory of value (Wood, 2004, pp.136-39)."

Tags:economics, game, theory

Abstract
This paper explains that traditional financial thinking relies on assumptions of certainty, complete knowledge and market efficiency and in this context, financial decisions should be relatively straightforward. In the real world though, many times what is observed deviates greatly from what would be expected using traditional financial thinking. This paper therefore uses different game theory models to more accurately explain observed financial decisions dealing with capital structure, corporate acquisitions and initial public offerings (IPOs).

From the Paper
"Game theory has made great strides in explaining many of the observed phenomena falling under corporate finance. One example is the capital structure decided upon by a firm s management. Capital structure deals with the firm s decision to raise funds through debt versus equity and what ratio of debt to equity should the firm maintain. Modigliani and Miller in 1958 showed that in perfect capital markets (i.e. no frictions and symmetric information) and no taxes a firm could not change its total value by altering its debt/equity ratio; thus capital structure is irrelevant. However in the real world, capital structure is carefully thought about by every company, and it is in fact not irrelevant because taxes do exist and capital markets are not perfect."

Tags:acquisitions, application, bondholder, control, debt, debtholder, equity, games, ipo, merger, ratio, shareholder, shield, tax, theory

Abstract
In this article, the writer explains how the game theory can help consumers formulate a decision to purchase life insurance. The writer places the whole process of life insurance into a game perspective. An explanation about the different aspects of game theory is also provided. The game theory is then put into use and a game is set up for the people involved in life insurance including the insurer and consumer. The writer concludes that when purchasing life insurance is placed into a game theory perspective, it really makes the decision-making process more clear.

Outline:
Abstract
Introduction
What is the Game Theory?
The Life Insurance Game
Conclusion

From the Paper
"The way to set up this game is to look at two characteristics of the game. The first characteristic is the probability of something going wrong. The second is the utility function of the consumer looking to get life insurance. The reason we need a utility function is that the risk aversion of the consumer looking to get life insurance is dependent on the utility function.
"Now consider a game where a consumer has to make a decision about buying life insurance. Two cases will be considered. The first case is the case where the consumer decides whether or not to buy life insurance or to forgo the opportunity. The second case is based on Mother Nature and two actions will be considered which are the consumer dies or doesn't die. Suppose the cost of dying is the income foregone and say it is equal to the lifetime earnings of that person. The cost of buying insurance is the premium that you pay for it. With these variables, you can put them together and set up a table."

Tags:strategies, decisions, planning, premium

Abstract
This paper explains that industrial relations within the context of the British economy and the character of its workforce have long been dominated by the power and presence of its unions. The author points out that, because of the stakes involved in the collective bargaining negotiations, game theory (GT) and coalition theory, which is a subset of GT, is relied upon to achieve fractional improvements in contract negotiations. The paper relates that game theory (GT) is most often associated with a zero-sum scenario; however, it also encompasses positive-sum and negative-sum scenarios where a party may gain or win without the necessity of an equivalent loser. The author relates that, because of the necessity to form alliances in order to reach consensus among diverse stakeholders, industrial relations often employ a type of GT known as coalition theory,which examines the nature, reasons and underlying dynamics of these coalitions that form in all the various settings. The paper includes graphs.

Table of Contents
Introduction
Game Theory
Industrial Relations and Game Theory
Conclusion

From the Paper
"Of particular value has been research integrating sender-receiver frameworks that analyze how knowledge is transferred, both symmetrically and asymmetrically, with GT whereby advantages gained through asymmetrical knowledge transfer creates zero-sum advantages for one player or the other in an industrial relations setting such as the collective bargaining platform. This concept is explained in terms of being a signal that one side uses to inform the other of a possible solution, such as concessions that can be made on benefits."

Tags:sender-receiver, unions, positive-sum, alliances, coalition

Abstract
This paper explains that game theory identifies the superior course of action for each player, which can consist of an outright "win" or the minimization of potential negative outcomes, thus providing a model for discovering superior alternatives in a specific area such as the military. Next, the author relates that the proposed study includes the background needed to confirm or refute the usefulness of a two-person zero-sum game approach to address military denial tactics. The paper concludes with a review of the relevant peer-reviewed, scholarly and governmental literature concerning game theory in general and its application on the battlefield.

Table of Contents:
Introduction
Statement of the Problem
Purpose of Study
Methodology
Importance of Study
Scope of Study
Rationale of Study
Review of the Literature

From the Paper
"In a two-person zero-sum game, Schmidt (2002) notes that each player formulates a strategy while ignoring the other player's; this means that the rationality of both players as an expression of their choice of their maximizing strategies, should not rely on the knowledge of the likewise rational strategy of the other player. Simultaneously, though, the game's solution is discernible to the two-person zero-sum players only if both of them have some level of information concerning the strategy that the other player has selected because that strategy is also the result of a rational choice."

Tags:decision, real-world behaviors, military operations, assumptions mathematicians

Abstract
This paper takes a look at the game theory, founded by mathematician John von Neumann, and the mathematics, social and behavioral sciences that are involved. This paper also reviews the definition of a game and the fundamental decision theory, a crucial factor pertaining to the game theory.

From the Paper
"A game refers to a strategic situation that involves at least two rational and intelligent individuals called players. The fundamental result of decision theory, which forms the foundation of game theory as well, is that each player's goal is to maximize the expected value of his or her own payoff. These payoffs are measured on some utility scale, which is merely a numeric depiction of each outcome that can be gained through the player's actions. Individuals have preferences that give them the opportunity to rank the outcomes with respect to one other. For each pair of outcomes, a player can say whether he or she likes one better than the other or whether he or she is indifferent about the two.
The logical roots for game theory are in Bayesian decision theory. In fact, game theory can be seen as an extension of the decision theory (Myerson, 1991, p.5). In general, a decision theory is an interdisciplinary area of study for practitioners in mathematics, statistics, economics, philosophy, management and psychology. "

Tags:players, strategies, payoffs, matrix, rounds, points, competition, nash

Abstract
Game theory is the use of mathematical models to predict the outcome of a dispute or interaction between two or more independent actors. It has been applied in a wide range of contexts, including gambling, business and international relations. This essay examines the importance of game theory when analyzing the foreign policy decision-making process. It argues that while simple games such as the Prisoner's Dilemma may not illuminate the process on their own, more complex models can offer a systemic device by which foreign policy can be analyzed more accurately.

From the Paper
"Perhaps the most widely recognized game is the Prisoner's Dilemma, which examines the choices faced by two people arrested for the same crime, and observes the likelihood that they would both accuse the other one, and thus both go to jail. When used in foreign policy analysis, it is often used to describe the nature of arms races, or the possibility of nuclear fallout. This is a non-zero-sum game, a game where it is possible for both players to lose, or to win (as opposed to a zero-sum game, where one actor's gain is always equal to another actor's loss)."

Tags:bureaucratic, cuban, nash, policon

Abstract
This paper examines industrial relations within the context of the British economy and the character of its workforce. According to the paper, the British workforce has long been dominated by the power and presence of its unions. This was made quite evident during the 1980s and 1990s when many of Britain's longstanding industrial complexes were closed at it tried become more competitive within the global community.

From the Paper
"Industrial relations within the context of the British economy and the character of its workforce have long been dominated by the power and presence of its unions. This was made quite evident during the 1980s and 1990s when many of Britain's longstanding industrial complexes were closed at it tried become more competitive within the global community. Contract negotiations with the unions during this period were often rancorous and demanding with each side seeking to protect as much of its interests as possible. Yet, for the unions and their representatives, they were more..."

Tags:industrial relations, game, theory