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Guides/Thinking & Problem Solving
🎲

Game Theory

Modeling interactions that hinge on others' choices, then solving for equilibrium to predict the outcome.

Game theory turns situations where several people shape each other's outcomes into formal models you can solve. You fix who plays, what options each one has, and what payoff every combination of choices produces. Then you look for the state where nobody gains by switching alone. This guide covers moving a situation with an opponent into a model and judging it by equilibrium. It doesn't cover setting direction by matching goals to resources, or correcting the biases in your own judgment.

🧠Thinking & Problem Solving
7 Levels
Published: Aug 5, 2026 · Updated: Aug 5, 2026 · v2

References

MIT OpenCourseWareeducational_program

The graduate course sequence runs from static-game solution concepts (rationalizability, Nash equilibrium) to extensive-form games (backward induction, subgame perfection) to advanced topics (repeated games, reputation, global games, cooperative solutions). It is the primary basis for the level boundaries.

MIT OpenCourseWare 14.126 — Game Theory (Syllabus)
University of Warwick, Department of EconomicsCurriculum

A university module description that states learning outcomes for strategy, best response, and equilibrium. It cross-validates the level expected at the undergraduate to graduate boundary.

EC941 Game Theory — Module Learning Outcomes
Shapiro, Shi & Zillante (Games and Economic Behavior)academic_research

Research that splits the depth of strategic reasoning into level-k tiers. It turns "how many moves ahead the other side reads" into an observable measure, which grounds the checklist items about reasoning depth.

Level-k Reasoning in a Generalized Beauty Contest
Stanford Encyclopedia of Philosophyacademic_research

Defines Nash equilibrium as a state where no one can improve their payoff by changing only their own strategy, and a subgame perfect strategy as one that picks the highest-payoff path of the relevant subgame at every node reached. Independent cross-validation for the solution concept progression.

Game Theory (Stanford Encyclopedia of Philosophy)
Gick & Holyoak (Cognitive Psychology)academic_research

Reports that transfer to a new situation happens only after a shared structure is pulled out of different cases as a schema. Grounds the transfer mechanism of the modeling role axis and the training prescriptions in the transition hints.

Schema induction and analogical transfer

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Creativity
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