To make the best decisions, you need the best information. However, because most issues in game theory are grey, nearly all recent research has been carried out using a simplified method that considers grey systems as white ones. This often results in a forecasting function that is far from satisfactory when applied to many real situations. Grey Game Theory and Its Applications in Economic Decision Making introduces classic game theory into the realm of grey system theory with limited knowledge. The book resolves three theoretical issues:

• A game equilibrium of grey game
• A reasonable explanation for the equilibrium of a grey matrix of static nonmatrix game issues based on incomplete information
• The Centipede Game paradox, which has puzzled theory circles for a long time and greatly enriched and developed the core methods of subgame Nash perfect equilibrium analysis as a result

The book establishes a grey matrix game model based on pure and mixed strategies. The author proposes the concepts of grey saddle points, grey mixed strategy solutions, and their corresponding structures and also puts forward the models and methods of risk measurement and evaluation of optimal grey strategies. He raises and solves the problems of grey matrix games. The book includes definitions of the test rules of information distortion experienced during calculation, the design of tokens based on new interval grey numbers, and new arithmetic laws to manipulate grey numbers. These features combine to provide a practical and efficient tool for forecasting real-life economic problems.

About the Author

Zhigeng Fang is professor and doctoral tutor at the College of Economics and management, Nanjing University of Aeronautics and Astronautics (NUAA), China. From 1996 to 1999, he studied at Xi'an University of Technology, earning a master's degree in management science and engineering management. From 2003 to 2007, he attended NUAA, earning a doctoral degree in systems engineering. His academic part-time positions include under-secretary-general of IEEE International Professional Committee of Grey Systems; governor of the Chinese Society for Optimization, Overall Planning and Economic Mathematics; managing director of Complex Systems Research Committee; secretary-general of Grey Systems Society of China; under-secretary-general of the Systems Engineering Society of Jiangsu Province, China; deputy director of the Post-Evaluation Research Center of Jiangsu Province; deputy director of the Grey Systems Research Institute of NUAA. He is a member of Services Science Global and the Services and Logistics Technical Committee of IEEE Intelligent Transportation Systems Society. His main research directions lie in the fields of theory and methods of uncertain prediction and decision, Grey game theory, applied economic, and energy economics.

Reviews

"... an excellent introductory graduate and undergraduate level text on grey game theory and its real applications in economics, management and system engineering. ... This book deserves the highest rating possible because a big percentage of the actual economic problems are based on a wrong decision. ... a valuable and timely addition to the current literature on game theory. It is well-written and clearly organized with excellent figures. The style and the presentation of the text provide the reader with a broad overview of recent progress in the lively and challenging field of game theory and its applications in economic problems. This book is highly recommendable to anyone, a graduate student, a researcher or a professor who studies game theory or a director of a society or an investment man."
-Zeraoulia Elhadj, University of Tebessa, Algeria

"The various means of dealing with uncertainty have been the subject of much recent online discussion, with Chinese complexity studies, particularly those under the heading of grey systems, receiving particular attention. This book presents impressive mathematical theory, with references to applications... . All the topics are treated in a fresh and stimulating way and readers are assured of their effectiveness in practice."
-Alex M. Andrew, Reading University, in Kybernetes, Vol. 39 No.7, 2010

Book Information
ISBN 9781420087390
Author Zhigeng Fang
Format Hardback
Page Count 360
Imprint Auerbach
Publisher Taylor & Francis Ltd
Weight(grams) 635g