Some Game Theory Examples
Some Worked examples
Let us consider some simple real life situations that we may have experienced. We will analyse these situations and arrive at:
- Players or AGENTS
- Their Possible ACTIONS
- Their 4Rs, and if they are identical, or not
- Payoffs and Matrix
- Understand whether it is a Prisoners’ Dilemma, or Stag Hunt, or Chicken, or maybe not model-able as a Game.
Story 1: Siblings at Home
You and your brother have to share Dining Table duties. One of you lays the Table for Dinner, the other cleans up.
Players: You, and your Brother
Actions:
- You: Cooperate: Lay the Table; Defect: Do not Lay the Table - Brother: Cooperate: Clean Up after Dinner; Defect: Do not Clean Up.
4Rs and Temptations:
| 4Rs | You | Brother |
|---|---|---|
| REWARD | Dinner Laid; Praise from Family; Satisfaction/Feel Good | Table Clean; Praise from Family; Satisfaction/Feel Good |
| RISK | Family Ire | Family Ire |
| REGRET | No Satisfaction/Feel Good | No Satisfaction/Feel Good |
| RETRIBUTION | Family Ire; Grounded? No Dinner !!?? | Family Ire; Grounded? No Dinner !!?? |