Friday, May 21, 2010

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Game theory has been used to study a wide variety of human and animal behaviors. It was initially developed in economics to understand a large collection of economic behaviors, including behaviors of firms, markets, and consumers. The use of game theory in the social sciences has expanded, and game theory has been applied to political, sociological, and psychological behaviors as well.

Game theoretic analysis was initially used to study animal behavior by Ronald Fisher in the 1930s (although even Charles Darwin makes a few informal game theoretic statements). This work predates the name "game theory", but it shares many important features with this field. The developments in economics were later applied to biology largely by John Maynard Smith in his book Evolution and the Theory of Games.

In addition to being used to predict and explain behavior, game theory has also been used to attempt to develop theories of ethical or normative behavior. In economics and philosophy, scholars have applied game theory to help in the understanding of good or proper behavior. Game theoretic arguments of this type can be found as far back as Plato.



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