Game equilibrium modelling

Non-cooperative game theory has in recent years become one of the main tools in the social sciences and economics. It deals with decision problems of more than one (rational) player. The actions of those players result in outcomes that are the ‘best’ that may have happened to a player, given the actions of the other players. This is precisely the content of the 'Nash equilibrium' concept. It would be nice when each game had a unique Nash equilibrium. Unfortunately, both non-existence and multiple equilibria occur. An important role in game theory is played by the ‘information‘ available to the players. Among the economic applications are: the ‘Theory of Industrial Organisation,’ ‘Bargaining’ and the ‘Economic Theory of Information.’