ABSTRACT
In game theory, presenting players with strategies directly affects the
performance of the players. Utilizing the power of automata is one way for
presenting players with strategies. In this chapter, the authors studied different
types of automata and their applications in game theory. They found that finite
automata, adaptive automata, and cellular automata are widely adopted in
game theory. The applications of finite automata are found to be limited to
present simple strategies. In contrast, adaptive automata and cellular automata
are intensively applied in complex environment, where the number of
interacted players (human, computer applications, etc.) is high, and therefore,
complex strategies are needed.
INTRODUCTION
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Any problem with interacted participants and actions can be treated as a
game. When car drivers put a plan to drive in heavy traffic, they are actually
playing a driving game. When users bid on bidding-based Websites, they are
actually playing an auctioning game. In election, choosing the platform is a
political game. The owner of a factory deciding the price of his product is an
economic game. Obviously, game theory can be presented in wide range of
applications. Game theory is a mathematical tool that can analyze the
interactions between individuals strategically. The interactions between
agents, who may be individuals, groups, firms are interdependent.. In this
chapter, the authors studied different types of automata and their
applications in game theory
