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The curse of game theory and why it’s in your self-interest to break the rules of the game

Game theory, the mathematical theory of games of strategy, was developed by John von Neumann in several successive stages in 1928 and 1940-41, according to his book Theory of Games and Economic Behaviour which he co-authored with Oskar Morgenstern. The crux of the theory is that an individuals’ behaviour will always be motivated towards achieving an optimal outcome, which is determined by self-interest. An assumption made is that the players in such a game are rational, which translates to, “will strive to maximize their payoffs in the game”. In other words, it is assumed they are motivated by selfish self-interests. Over the years, other contributors such as John Nash (Nash equilibrium) and John Maynard Smith (evolutionary stable strategy) have added to the theory and we are now at a point where it is considered by many to be an essential tool when modelling economic, political, sociological or military behaviours and outcomes, and is taught as such in many prestigious…