Game theory has significantly enhanced AI performance in board games like Go, chess, and Go-Moku. For instance, a combination of reinforcement learning and Monte Carlo tree search (MCTS) in Go-Moku achieved a 9:1 win rate against a pure MCTS approach, showcasing its effectiveness in improving AI capabilities
Studying how bidders behave during auctions allows sellers to maximize revenue while buyers lower costs. The Federal Communications Commission (FCC) in the United States has generated significant revenue for the government through spectrum auctions have raised over $200 billion since their inception in the 1990s.
Research has shown that game-theoretic models can accurately predict voters and candidate strategy, although results may vary. A study on cumulative voting in Illinois found that game theory was a good predictor of actual political behavior, with the Nash equilibrium solution being a superior predictor compared to other models.
Studies from the Australian Defense Science and Technology group find that strategic game theory can be applied to high level decisions in order to increase missile interception, resource allocation, and adversary predictability by up to 30%.
The next module will discuss the Policy Considerations regarding Game Theory. Click below to take you to the next page: