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I guess I should explain a bit more then.
The term “player” in game theory doesn’t mean a person, it means a collection of rows or columns in a payoff matrix. Basically just a table of numbers. One player is all the rows, one player is all the columns.
A strategy can be either a pure strategy (select one row or one column of the table) or a mixed strategy (assign percentages to every row or every column of the table, so that all percentages are non-negative and the total equals 100%).
In a 2x2 payoff matrix, each player has 2 possible pure strategies (pick column A or column B, row 1 or row 2) but infinite possible mixed strategies (e.g 33.186794% column A and 66.813206% column B) since an infinite number of pairs of percentages can add up to 100%.
Mixed strategies can be thought of as introducing probability into the situation. If you choose a mixed strategy of 50% column A and 50% column B you could think of it as using a coin toss to make the decision. But game theory itself doesn’t do the coin tossing, it just assumes the expected values of the percentage times the payoffs in those entries of the payoff matrix.
So it's just theoretical mathematics based on a given amount of assumed possible choices? Is there even a way to truly apply it to a real-world scenario as complicated as large-group human behavior?
For large group behaviour you’re better off looking at cooperative game theory which is a branch of game theory that deals with games of more than 2 players and the formation of cooperating groups known as coalitions.
It’s a much more complex topic than basic 2 player strategic game theory, so I don’t see it discussed nearly as much outside of subject matter experts.
Ah, gotcha. Still, looks like a fun read - I'll check it out. Thanks for taking the time to explain it!