What is nash equibrium
Nash equilibrium is a concept in game theory that describes a situation in which each player in a game has chosen a strategy and, knowing the strategies of the other players, no player can unilaterally change their strategy to achieve a better outcome for themselves. In other words, it is a point where no player has an incentive to deviate from their chosen strategy because any deviation would not improve their outcome.
The concept is named after mathematician and Nobel laureate John Nash, who formulated it. Nash equilibrium is extensively used in various fields, including economics, politics, and evolutionary biology, to analyze and predict the behavior of individuals or groups in strategic interactions. It provides a way to understand how rational decision-makers would act in situations where their choices depend on the choices of others.