# Nash Equilibrium
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In game theory, a nash equilibrium is a situation where no player could gain more by changing their own strategy (holding all other players' strategies fixed) in a game. A nash equilibrium is the most commonly used solution concept for non-cooperative games.
If each player has chosen a strategy — an action plan based on what has happened so far in the game — and no one can increase one's own expected payoff by changing one's strategy while the other players keep theirs unchanged, then the current set of strategy choices constitutes a nash equilibrium.
Game Theory, Psychology, and the Architecture of Your Manufactured Choices
Stop being a predictable piece on someone else's board. ♟️Have you ever wondered why you stay in a job you hate, why prices keep rising while quality drops, or why it feels impossible for people to actually cooperate on big issues like climate change?In this episode of Planting Thoughts, Mike co ...
FIFA VORTEX -- "FIFA’s structural error was not expansion; / it was breaking chronological simultaneity in the final round of the group stage. // By the time the late groups kick off,
MODULE 01: THE MICROECONOMICS OF THE VORTEX //"FIFA’s structural error was not expansion; / it was breaking chronological simultaneity in the final round of the group stage. // By the time the late groups kick off, / the data from the early groups has become common knowledge. //Under a classic N ...
Pairwise Interactive Knowledge and Nash Equilibrium
Christian W. Bach (Maastricht) gives a talk at the Sixth Workshop in Decisions, Games & Logic '12 (June 28-30, 2012) titled "Pairwise Interactive Knowledge and Nash Equilibrium" (joint work with Elias Tsakas).
4. Best responses in soccer and business partnerships
Game Theory (ECON 159)We continue the idea (from last time) of playing a best response to what we believe others will do. More particularly, we develop the idea that you should not play a strategy that is not a best response for any belief about others' choices. We use this idea to analyze takin ...
6. Nash equilibrium: dating and Cournot
Game Theory (ECON 159)We apply the notion of Nash Equilibrium, first, to some more coordination games; in particular, the Battle of the Sexes. Then we analyze the classic Cournot model of imperfect competition between firms. We consider the difficulties in colluding in such settings, and we disc ...
5. Nash equilibrium: bad fashion and bank runs
Game Theory (ECON 159)We first define formally the new concept from last time: Nash equilibrium. Then we discuss why we might be interested in Nash equilibrium and how we might find Nash equilibrium in various games. As an example, we play a class investment game to illustrate that there can be ...
Lecture 5: Nash Equilibrium
MIT 14.12 Economic Applications of Game Theory, Fall 2025 Instructor: Ian Ball View the complete course: https://ocw.mit.edu/courses/14-12-economic-applications-of-game-theory-fall-2025/YouTube Playlist: https://www.youtube.com/playlist?list=PLUl4u3cNGP63quuKvMHCt3cmTmt0O2qpvIn this lecture, Ian ...
Lecture 10: Subgame-Perfect Nash Equilibrium
MIT 14.12 Economic Applications of Game Theory, Fall 2025 Instructor: Ian Ball View the complete course: https://ocw.mit.edu/courses/14-12-economic-applications-of-game-theory-fall-2025/YouTube Playlist: https://www.youtube.com/playlist?list=PLUl4u3cNGP63quuKvMHCt3cmTmt0O2qpvIn this lecture, Ian ...
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