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Page 1: Game Theory - uni-muenchen.de fileVorlesung Biophysik Braun - Evolution Game Theory History: First interest in game theory was started by behavioral sciences and economics. But even

Vorlesung Biophysik Braun - Evolution

Game TheoryHistory:

First interest in game theory was startedby behavioral sciences and economics.But even in economics, the approach wasnot very persuasive, mostly because of thelack of experimental foundation.

After a period of mathematical ’purifica-tion’ of the approaches, game theory tookof in the beginning of 1970, with the incor-poration of biological and evolutionaryapproaches. In Biology, the fitness of theorganism gave game theory a seriousfoundation.

Books:John Maynard Smith: Evolution and the Theory of Games.Ulrich Müller: Evolution und Spieltheorie, 1990Rudolf Schüßler: Kooperation unter Egoisten, 1990Michael Taylor: The possibility of cooperation, 1987Richard Dawkins: the selfish gene. 1976, 2nd edition 1989.(dt: das egoistische Gen)Matt Ridley: The origins of virtue: human instincts and theevolution of cooperation, 1996, pinguin paperback

Summary:

- Motivation: the selfish gene- Simple games- Matrix formulation of games- Single vs. Multiple games:

Prisoners dilemma- Dynamic plotting- Frequency dependent selection- Stable bad solutions beat unstable good

solutions in memory-less evolution.- Biological examples

Page 2: Game Theory - uni-muenchen.de fileVorlesung Biophysik Braun - Evolution Game Theory History: First interest in game theory was started by behavioral sciences and economics. But even

Vorlesung Biophysik Braun - Evolution

Matrix GamesA wide class of games can be described bya payoff matrix. They are called matrixgames.

Let’s look at Knobeln (engl: to toss). Eachplayer can show scissors, paper orstone. Each of the player has profit matrixdepending on what the other is playing.

The matrix has to be read along therows. If I am player A, and play strategyscissors, then I have a payoff of 0 againstscissors of player B, loose 1 against playerB choosing stone and gain 1 if player Bchooses paper.

Games where the payoff is distributedbetween partners are called partnergames or symmetric games and yield asymmetric payoff matrix.

Here we also have the case of a zero-sumgame: what is received is what is given,seen by the zero expectation value.

Player B

Player A

0 -1 1

1 0 -1

-1 1 0

PayoffMatrix

V0 1– 11 0 1–1– 1 0

=

Vij Vji=e.g. Partner Game:

Page 3: Game Theory - uni-muenchen.de fileVorlesung Biophysik Braun - Evolution Game Theory History: First interest in game theory was started by behavioral sciences and economics. But even

Vorlesung Biophysik Braun - Evolution

The Prisoner DilemmaThe interesting structure lays in the pay-offs they obtain depending on the othersstrategy. If both compete, they obtainnothing. If both cooperate, they obtain 1.This is the symmetric part.

However, things become asymmetric, ifcompeting meets cooperate: in that casethe competing out wins the cooperating:competing gains 2, the cooperatinglooses 1.

What strategy should be played?

Interestingly, it depends on the gameshistory, i.e. on how often the game isplayed. If the game is played once, theanswer is quite clear. Without knowing theother, one will compete. In average, thegain will be (1+5)/2=3. Cooperating isdangerous, the expectation value for this is(3+0)/2=1.5 and in average you will notgain anything. In average it is always bet-ter to compete. A boring game?

Player B

Player A1 5

0

PayoffMatrix V

3

Another Matrix game is the PrisonerDilemma. The scenario is as follows. Twoagents fight for a resource. (In the orig-inal story, two prisoners are charged forthe same criminal act). They first choosetheir strategy. Either they can be friendlyand corporate with the other or they canbe fierce and choose a competing strategy.

Page 4: Game Theory - uni-muenchen.de fileVorlesung Biophysik Braun - Evolution Game Theory History: First interest in game theory was started by behavioral sciences and economics. But even

Vorlesung Biophysik Braun - Evolution

The Prisoner DilemmaTIT for TAT is very simple. The first timeit takes the risk and cooperates. For allfollowing games it copies the strategy ofthe last move of the other agent. Thismeans the strategy “TIT for TAT” will coop-erate if the other did cooperate last time, itwill defect if the other did defect last time.

Axelrod argued that this strategy is “nice”,“provokable” and “forgiving”. It is “nice”since it starts with a cooperate move, canhandle an always-defect strategy of theother well without loosing too much (“pro-vokable”). But most importantly, itbecomes immediately nice again if theother player cooperates (“forgiving”).

So we see, there are games where itbecomes crucial to memorize both theagent (did I play against him in the past?)and what strategy the agent played(did he compete last time?). A memory is aselection advantage since it allows toimplement the optimal strategy. serendip.brynmawr.edu/playground/pd.html

www.brembs.net/ipd/ipd.htmlAxelrod, R. (1981). Science, 211(4489):1390-6

However the situation changes if the gameis played multiple times between the sameagents.

Axelrod has asked people to submit com-puter programs to compete in the gameof multiple prisoner dilemma. After twotournaments of a wide variety of algo-rithms, it turned out that the best strat-egy was quite simple. It was called “TITfor TAT” (“wie du mir, so ich dir”).

Player B

Player A1 5

0

PayoffMatrix V

3

Page 5: Game Theory - uni-muenchen.de fileVorlesung Biophysik Braun - Evolution Game Theory History: First interest in game theory was started by behavioral sciences and economics. But even

Vorlesung Biophysik Braun - Evolution

Stability of Strategies:

Symmetry of the sexes. We start with a commonly used example. For a farmer tohave as many cows as possible, he might choose one bullper 20 cows. Why? The reproductive capability of the cow(kpi) is much higher than for the bull (kpi=0) and thefarmer will yield more animals for equal food resources. But, how comes that such a solution is not found innature? Simply: the strategy is not stable against ran-dom mutations. We start with a cow in average giving birthto 1 bull and 20 cows. If one cow in the populationgives birth with a ratio 1:1, this phenotype has a largeadvantage over the others since its many bulls canexploit the existence of many cows. Same is true for the opposite: starting with 1 cow and20 bulls, the phenotype with mutation for a 1:1 ratio willpropagate better due to its higher number of cows. We see that the frequency of species in the populationdetermines the selection rules, termed frequency depen-dent selection. Technically speaking, the Nash equilib-rium is not stable (20:1) and the inferior strategy of 1:1 isused. As a result, nature uses the inferior, but stable strategy.

1 1÷

Female( ) Male( )÷

20 1÷

Frequency dependent Selection

John Maynard Smith and George R. Price (1973)."The logic of animal conflict." Nature

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Vorlesung Biophysik Braun - Evolution

Evolutionarily Stable Strategy (ESS)Evolutionary stable strategy (ESS):

“A strategy such that if all members ofthe population adopt it, then no mutantcan invade the population under theinfluence of selection.”

Assume you have a population which isdominated by strategy p of the popula-tion and a mutation strategy m justdeveloped. With the profit of the game Vijof strategies i and j, the evolutionarystable strategy is given, if Vpp>Vmp,i.e. the majority strategy p yields morethan a single minority m playing againstthe majority p.

In the case of equality we need a secondcondition of Vmp>Vmm.

Vpp Vmp>

Vpp Vmp= and Vpm Vmm>

Vpp Vmm<

or

Page 7: Game Theory - uni-muenchen.de fileVorlesung Biophysik Braun - Evolution Game Theory History: First interest in game theory was started by behavioral sciences and economics. But even

Vorlesung Biophysik Braun - Evolution

Evolutionarily Stable Strategy (ESS) As we have seen, such an evolutionarystable strategy does not need to be the bestperforming. It is well possible that Vmmis much better than Vpp, but it is notstable due to Vpp>Vmp. We can see this for example in the Pris-oner Dilemma. If the majority populationcompetes at all times (V=1), a coopera-tive mutation will loose against it (V=0)and cannot grow. Strategy competition isstable. A globally better mutation m cannot sup-plant the worse, but stable strategy p withVpp>Vmm. On the other side, if the cooperativestrategy would be adopted by everyone, itwould be advantageous (V=3). Howeverany mutation which competes gainsmore (V=5) and will grow, eventually over-taking the population. But as we have seen, dynamic, memorybased strategies (TIT for TAT) can com-pete against all other strategies and inmany situations lead to an average yieldof V=3.

Vpp Vmp>

Vpp Vmp= and Vpm Vmm>

Vpp Vmm<

Example: Prisoner Dilemma

or

Player B

Player A1 5

0

PayoffMatrix V

3

Page 8: Game Theory - uni-muenchen.de fileVorlesung Biophysik Braun - Evolution Game Theory History: First interest in game theory was started by behavioral sciences and economics. But even

Vorlesung Biophysik Braun - Evolution

Davis, Spieltheorie für Nichtmathematikeren.wikipedia.org/wiki/Hawk-dove_gameMaynard Smith, J. (1982) Evolution and the Theory of Games.

When fighting for a resource, opponentscan use two typical strategies. Theo Hawk strategy escalates and continues

until injured or until the opponent retreatso Dove strategy retreats if opponent

escalates. We parametrize the payoff. V for winningthe fight and C for the cost of an injury,we find the payoff matrix to the left. We recall the condition for an evolution-arily stable strategy (ESS) on the left. If all were doves, each gaining V/2, ahawk can always invade with V (V beingpositive). We again have frequency depen-dent selection. All being hawks is evolutionarily stablestrategy, if (V-C)/2>0. Otherwise a dovewhich gains 0 can compete initially. In otherwords, hawks are ESS if it is worth riskinginjury (C<V) to get the resource. The case becomes interesting, when C>V,i.e. the injury C is not worth taking forthe resource V. To study this we switch topopulation dynamics.

Example: The Hawk-Dove Game

Player B

Player A(V-C)/2 V

0

PayoffMatrix V

V/2

H

D

DH

Vpp Vmp>

Vpp Vmp= and Vpm Vmm>or

(Chicken Game)

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Vorlesung Biophysik Braun - Evolution

From Game Theoryto Population Dynamics

We now allow the population to be split intothe two strategies with p the frequency ofstrategy hawk (H). And we add a dynamics to the matrixgame by determining the fitness W by thepayoff matrix V(i,j). W(H) is the fitness ofstrategy hawk, W(D) the fitness of strategydove. We linearly link the fitness to thepayoff matrix V(i,j) and add a constant fit-ness W0. Consider the fitness of the hawk W(H).With probability p it meets another hawk,gaining in fitness by V(H,H), with probability(1-p) the hawk meets a dove, gaining in fit-ness by V(H,D). The same for the Dove(left).

Additionally, we add a dynamics by usingthe fitness as determinant for the propaga-tion of the strategy. The result is a finite timedifferential equation. Thus one might want toreinterpret population dynamics withgame theory.

Player B

Player A(V-C)/2 V

0

PayoffMatrix V

V/2

H

D

DH

W H( ) W0 pV H H,( ) 1 p–( )V H D,( )+ +=

W D( ) W0 pV D H,( ) 1 p–( )V D D,( )+ +=

p t 1+( ) p t( )W H( ) W⁄=

W pW H( ) 1 p–( )W D( )+=

Example: The Hawk-Dove Game(Chicken Game)

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Vorlesung Biophysik Braun - Evolution

Now we can study the case V<C(injury is more severe than gain fromresource) with population dynamics.

As discussed before, neither allHawks nor all Doves are an ESS.Hawks invade Doves with V>V/2 andDoves can invade Hawks with(V-C)/2<0. But now we can analyzemixtures in the population with p theprobability for playing strategy hawk. One can incorporate mixtures of popu-lations also by introducing a genotype Iwhich randomly chooses hawkstrategy with probability p. It can beproved that if I is an ESS, then the fol-lowing holds: V(H,I)=V(D,I). On the leftside it is evaluated leading to the prob-ability of p=V/C. If the resource is lowin value, less hawks are played, other-wise the mostly hawk is chosen.

We still have to prove the stabilitycriterion: V(I,D)>V(D,D) andV(I,H)>V(H,H). As seen on the left, forV<C the mixed strategy is indeed anESS.

Stable Strategies in Hawk-Dove Game

V H I,( ) V D I,( )=pV H H,( ) 1 p–( )V H D,( )+

pV D H,( ) 1 p–( )V D D,( )+=p V C–( ) 2⁄ 1 p–( )V+ 1 p–( )V 2⁄=

p V C⁄=

V I D,( ) pV 1 p–( )V 2⁄+ p 1+( )V 2⁄= =V 2⁄> V D D,( )=

V I H,( ) p V C–( ) 2⁄=V C–( ) 2⁄> V H H,( )=

Player B

Player A(V-C)/2 V

0

PayoffMatrix V

V/2

H

D

DH

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Vorlesung Biophysik Braun - Evolution

We go one step further. Suppose that ina population of frogs, males fight tothe death over breeding ponds. Thiswould be an ESS if any one cowardlyfrog that does not fight to the deathalways fares worse (in fitness terms,of course). A more likely scenario isone where fighting to the death is notan ESS because a frog might arisethat will stop fighting if it realizesthat it is going to lose. This frogwould then reap the benefits offighting, but not the ultimate cost.Hence, fighting to the death would eas-ily be invaded by a mutation thatcauses this sort of "informed fight-ing."

Extensions to Hawk-Dove Game

Player B

Player A(V-C)/2 V

0

PayoffMatrix V

V/2

H

D

DH

From: en.wikipedia.org

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Vorlesung Biophysik Braun - Evolution

Another extension to the game of doveand hawks is the Retaliator strategy.To keep it simple, we set the game tofixed payoffs: V=2, C=4, therefore themixed strategy I with P=0.5 is an ESS.

The Retaliator (R) behaves like adove against another dove, but if theopponent escalates like a hawk, Rescalates also and becomes a hawk. We assume that escalating propertiesof R allow it to handle Dove D a littlebetter than does Dove D handle Retali-ator R (see 1.1 and 0.9 in the matrix). All playing Retaliator R is an ESSsince V(R,R)=1 is greater than eitherV(D,R)=0.9 or V(H,R)=-1. But can wefind stable strategies by using mixedstrategies?

Yes, we can. Mixing I=0.5H+0.5Dleads to V(H,I)=0.5, V(D,I)=0.5,V(R,I)=0.05 and V(I,I)=0.5. We find asecond stable point!

Hawk-Dove-Retaliator Game

Player B

Player A

-1 2

0

PayoffMatrix V

1

H

D

DH R

R-1 1.1

-1

0.9

1

V R R,( ) V D R,( )>V R R,( ) V H R,( )>

I 0.5H 0.5D+=

R is ESS

I is ESS

Page 13: Game Theory - uni-muenchen.de fileVorlesung Biophysik Braun - Evolution Game Theory History: First interest in game theory was started by behavioral sciences and economics. But even

Vorlesung Biophysik Braun - Evolution

The starting conditions of the popula-tion will determine, at which ESS itwill land and along which paths.This dynamics can be nicely visual-ized in a pyramid:

Hawk-Dove-Retaliator Game

Player B

Player A

-1 2

0

PayoffMatrix V

1

H

D

DH R

R-1 1.1

-1

0.9

1

From:J.M. Smith: Evolution andthe theory of Games

Page 14: Game Theory - uni-muenchen.de fileVorlesung Biophysik Braun - Evolution Game Theory History: First interest in game theory was started by behavioral sciences and economics. But even

Vorlesung Biophysik Braun - Evolution

Motivation: The Selfish GeneFollowing works of George Williams and WilliamHamilton, Richard Dawkins used the term “selfishgene” to subsume findings in biology and molecularbiology where one gene is found to fight againstother genes. Instead of seeing organisms compete, Dawkinsinverts the viewpoint: the organism is only a vehicleof the genes to replicate themselves. "A chicken isjust an egg's way of making more eggs." "Replicators began not merely to exist, but toconstruct for themselves containers, vehiclesfor their continued existence. The replicatorsthat survived were the ones that built survivalmachines for themselves to live in." The first edition of the book had not includedcooperation findings of game theory and was criti-cized based on its simple understanding of “selfish”.It was wrongly misunderstood as an attack on cul-turally rich society from evolutionary biology. I will hope, review of core ideas of game theorywill show that this is only a lack of our scientific fan-tasy. Memory plays a crucial role to explore the effi-cient and more complicated social schemes byexplaining frequency-dependent selection and stableevolution traps.

Page 15: Game Theory - uni-muenchen.de fileVorlesung Biophysik Braun - Evolution Game Theory History: First interest in game theory was started by behavioral sciences and economics. But even

Vorlesung Biophysik Braun - Evolution

“Social” Ants.

Social insects such as ants have haplodip-loid genes, e.g. male ants only have a sin-gle copy of the gene, as opposed to thefemale ant which is diploid. This increases the significance of kin selec-tion: male ants are “supersisters” totheir collaborators, sharing 75% of theirgenes. This means they are more relatedto their sisters than to any offspring theymight have: this would give 50% geneticidentity. From the viewpoint of the selfish gene, thismakes them much more interested in help-ing their coworkers. Helping them is betterfor their genes than trying to replicate theirown genes by sexual reproduction: ants areselfless because of selfish genes. This phenomenon is called Eusociality,i.e. the reproductive specialization found insome species of animal, whereby a special-ized caste carries out reproduction in a col-ony of non-reproductive animals.

Motivation: The Selfish GeneThe selfish embryo.

A foetus only shares 50% of themother’s genes. David Haig foundthat the foetus and its placentaact more like a internal para-site than like friends.

The foetus destroys muscle cellsthat control the central artery,removing the mothers control overit. The foetus also uses hormonesto induce high blood pressureand to divert as much blood aspossible to itself.

Likewise there is a hormone-bat-tle over blood sugar levels.

The mother-foetus relationship isnot purely love and mutual aid.

This can be understood from the50% selfishness of the foetus.

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Vorlesung Biophysik Braun - Evolution

In the last slide, we focussed on how the population determines the selectionpressure and the profit of an individual. To recall, in the Eigen model(above): the fitness was determined by kpi and kmi, but not explicitly by thestate of the population ni. However in nature, games with frequency dependentselection are common.

Take molecules the number of mole-cules ni of sequence i (also called spe-cies) and introduce the followingpopulation dynamics:

kpi Propagation rate, i.e. the ability to self-replicatekmi Mortality rate and rate to leave the areaqi<1 Replication fidelitykm,ji Probability to mutate from another species j.

Eigen & Schuster: Selfreplicative Molecules

n· i kpiqi kmi–( )ni km ji, nji j≠∑+=

nii∑ const=

From: Gesteland, Cech, Atkins: RNA World

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Vorlesung Biophysik Braun - Evolution

Stephen Jay Gould:“One day, at the New York World’s Fairin 1964, I entered the Hall of FreeEnterprise to escape the rain. Inside,prominently displayed, was an ant col-ony bearing the sign: ’Twenty millionyears of evolutionary stagnation.Why? Because the ant colony is asocialist, totalitarian system.”

A society with memory and ways topunish its members can very wellenforce an evolutionary unstablestrategy with higher profit for all itsparticipants.

In this sense, memory-enabled andstate-supporting human beings canbe superior to a state-less fully com-peting pool of individuals.

Note that money is a very importantmemory element in modern societies.

Game Theory Comments

We probably have to adjust ourmeaning of “egoistic” along the linesof game theory. In such a sense, reallyegoistic societies might not at alllook like egoistic societies in thepopular meaning of the word.

Concerning molecular evolution, weare only at the beginning of harvestingthe evolutionary scope of game the-ory. It is not improbable that we findimprints if game theory even downto the molecular level. Proteins andDNA most probably play a very intricateand complex game. Life might beindeed the game of selfish genes.