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Multi-Agent Game Theory Simulation

#game-theory #economics #simulation #strategy

Simulate a complex economic scenario using game theory principles to predict outcomes.

Simulate a market entry scenario between three competing companies with asymmetric resources. Use game theory concepts such as Nash Equilibrium, Prisoner's Dilemma, and Zero-Sum games to model their potential strategies. Define the payoff matrix for each competitor based on aggressive, defensive, and cooperative strategies. Analyze the likely long-term equilibrium of the market and identify any conditions under which cooperation might emerge as a dominant strategy.