An Illustrative Example to Study Games in Extensive Form and Its Nash Equilibrium

Abstract

The main purpose of this thesis is to give an introduction to games in extensive form and its Nash equilibrium throughout an illustrative example The example describes the competition between two retailers say 7-Eleven and FamilyMart for their strategies to sell a new product We formulate it as a non-cooperative game In the attempt to make the abstract axiomatic approaches to the game theory more transparent and concrete we use this example to illustrate the structure of a given non-cooperative game Finally we pay a revisit to Nash's work in 1950 and 1951 about the existence of Nash equilibrium and also show the results as consequences of Kakutani and Brouwer's fixed point theorems In the wake of Nash's death in a car accident recently we present our understanding toward the game theory in this thesis as our way to remember him

Date of Award	2015 Aug 26
Original language	English
Supervisor	Ruey-Lin Sheu (Supervisor)