Game theory is most relevant in the economy. In this field, it is mostly used in competitive situations and bargaining. Along with the Coke/Pepsi example noted earlier, there are many more that happen every day. When two people bargain, researching game theory might allow one to predict what moves his opponent might make and develop a strategy that would allow for maximum profit.
Game theory can be applied to the 2016 United States presidential election. Although Donald Trump lost the popular vote, it would be not only unfair but illogical to not consider him the winner. Misinforming the players, which is what would have happened if the electoral college was dismissed, does not contribute to a legitimate game; therefore Trump must be accepted as the winner of the election no matter how much he is personally disliked.
Game theory can be used to explain why animals evolved to partake in certain behaviors. For example, game theory might explain what strategies animals use when they fight over territory and resources- with the ultimate payoff being to survive.
Play a game