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Game theory-based influence diagrams



Many decisions are made in interactive situations in which decision makers interact and may also affect each other's decision outcomes. In order to model decision makings in such interactive situations, this paper incorporates game theory into influence diagrams and presents a new approach, called game theory-based influence diagrams (GIDs). GIDs consider an extra factor, that of the choice of strategies made by other decision makers, to the list of determinants that influence the decision-making process of each decision maker, so that decision makers can make more rational decisions. As a result of integrating influence diagrams and game theory, GIDs benefit from the simplicity and efficiency of influence diagrams for modelling complex decision problems as well as the rationality and suitability of applying game theory for making decisions in dynamic interactive scenarios. This paper also introduces genetic algorithm-based methods to evaluate GIDs. Experimental studies have been performed for validation and evaluation.