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Some History. The tools of game theory are now common-place within economics. They were originally developed by John von Neumann and Oscar Morgenstern in their 1944 book, The Theory of Games and Economic Behavior. Thomas Schelling in his 1956 book The Strategy of Conflict was the first to apply game theory to many contexts in social sciences. He won the Nobel Prize in 2005.The theory has developed to a high degree of mathematical sophistication. The importance of this development was signif9450

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