Game Theory Questions
Cooperative game theory focuses on situations where players can form coalitions and make binding agreements, while non-cooperative game theory assumes that players act independently and make decisions based on their own self-interest without any communication or coordination. In cooperative game theory, the focus is on the analysis of the outcomes that can be achieved through cooperation and the distribution of the resulting payoffs among the players. Non-cooperative game theory, on the other hand, analyzes strategic interactions where players make decisions without any formal agreements or coordination, often resulting in a Nash equilibrium where no player can unilaterally improve their outcome.