The Nash Equilibrium

John Nash, expanding upon his Game Theory work in the 1920s, collaborated with other mathematicians an wrote a book that described what was later termed Nash equilibrium. 

In Game Theory, Nash equilibrium represents a state in which it would do a player no good to change their strategy, since they could obtain no more gain from a strategy change. In other words, no matter what a second player does, player one's best bet is to choose a particular strategy (the Nash equilibrium). 

Interestingly enough, the Nash equilibrium can be found with an algorithm when considering 'mixed strategies' of a game. This is when the players' choices deviate from one another. I found a great video that describe this in 9 minutes. It might be a challenge to present this information to our class in half the time.

http://www.youtube.com/watch?v=aa8USttcDoE&list=SPKI1h_nAkaQoDzI4xDIXzx6U2ergFmedo