This chapter of the Handbook of Game Theory (Vol. 3) provides an overview of the theory of Nash equilibrium and its …-enforcing theory of rational behavior in non-cooperative games. Given the assumption of independent behavior of the players, it follows … that a self-enforcing theory has to prescribe a Nash equilibrium, i.e., a strategy profile such that no player can gain by …

Harsanyi and Selten (1988) have proposed a theory of equilibrium selection that selects a unique Nash equilibrium for … any non-cooperative N-person game. The heart of their theory is given by the tracing procedure, a mathematical … algorithms, it is easily implemented on a computer. To show our results we apply methods from the theory of simplicial algorithms …