The Nash Equilibrium and Prisoner's Dilemma Explained: Game Theory for Programmers

Nash Equilibrium Explained with an Example in JavaScript

In the landscape of game theory and strategic decision-making, Nash Equilibrium stands as a pivotal concept. For programmers, particularly those dabbling in AI, economics, or any domain involving strategic interactivity, understanding Nash Equilibrium can be a game-changer. This article aims to demystify this concept, offering an in-depth understanding tailored for programmers.

You are better off confessing.

What is Nash Equilibrium?

Developed by mathematician John Nash, the Nash Equilibrium is a solution concept in non-cooperative game theory. It occurs when players in a game are making decisions that are optimal given the decisions of other players, and no player can benefit by changing their strategy unilaterally. Essentially, it’s a state where no player has anything to gain by changing only their own strategy.

The Essence in Programming Terms

Imagine a multi-agent system where each agent’s strategy directly affects the outcomes of others. Nash Equilibrium occurs when all agents are executing strategies such that no single agent can improve their situation by changing their strategy alone. It’s like…