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The authors analyze some fundamental questions of economic theory in terms of a mathematical theory of games. The common elements of economic behavior and such factors as strategy in games are presented, and the interrelated concepts are analyzed around the more or less central problem of utility. The book is divided into 12 chapters, the first being a formulation of the economic problem, presenting the objectives of the system used, the notion of utility, and a description of the structure of the authors' theory. The second chapter is a general formal description of games of strategy, and chapters 3-8 treat particular classifications of games. In chapter 9, the authors discuss the composition and decomposition of games. Chapter 10 is on simple games, and chapter 11 on general non-zero-sum games. (These are games in which the sum of all payments received by all players is not zero. Thus such games involve production or destruction of goods and are more closely analogous to general social and economic situations than zero-sum games.) The concluding chapter presents a generalization of the concept of utility and the discussion of an example.
Formulation of the economic problem
General formal description of games of strategy
Zero-sum two-person games: theory
Zero-sum two-person games: examples
Zero-sum three-person games
Formulation of the general theory: zero-sum n-person games
Zero-sum four-person games
Some remarks concerning n&gt 5 participants
Composition and decomposition of games
Simple games
The simple game
Extension of the theory
Extension of the concepts of domination and solution
Appendix: the axiomatic treatment of utility