Why Game Theory is Not About Competition

Game Theory explores decision-making with competitors and friends and reveals that it offers more insight into getting along with partners and allies than about competition. It examines the famous prisoners' dilemma scenario and analyzes the motivations behind each decision for maximum individual benefit. The application of game theory extends to understanding competitive behavior and collusion, with a focus on Nash equilibrium. Additionally, cooperative game theory proves relevant in international trade negotiations, as exemplified by Donald Trump's trade agreements approach.