Introduces the fundamentals of probability, statistics, decision theory, and game theory, and features interesting examples of games of chance to illustrate the presented mathematical concepts

Ranging from simple games to strategic games, Probability, Decisions and Games features a variety of gaming and gambling examples to build a better understanding of quantitative reasoning. The authors establish fundamental concepts before moving on to more strategic games that illustrate how multiple concepts fit together. Organized into thirteen chapters, this book presents equal coverage on the general mathematical analysis concepts found in a wide variety of games as well as the specific theories and problems associated with well-known casino games. The authors cover zero-sum games, non-zero-sum games, and sequential games in order to introduce ideas such as mathematical expectation and variance, bias, combinatorial calculus, conditional probability and Bayes Theorem, Bernoulli trials, and the Binomial distribution.

This book presents interesting gaming examples to highlight the practical applications and methodologies behind the basic concepts of probability, statistics, decision theory, and game theory. The first two chapters of Probability, Decisions and Games: A Gentle Introduction using R feature an introductory discussion of utility and probability theory in finite and discrete spaces. Subsequent chapters utilize popular casino games to illustrate the practical probabilistic methodologies. Finally, the book concludes with discussions on game theory and strategic games.

• Features introductory coverage of probability, statistics, decision theory, game theory, and mathematical analysis and has been class-tested at University of California, Santa Cruz for the past six years
• Illustrates mathematical concepts through interesting and fun examples using five popular casino games: roulette, lotto, craps, blackjack, and poker
• Provides a variety of gaming and gambling examples of well-known simple games, such as casino games, zero-sum games, non-zero-sum games, and sequential games, in order to help readers better understand quantitative reasoning
• Features computer simulations using R throughout in order to illustrate complex concepts and help readers calculate the presented problems
• Contains exercises throughout and approaches games and gambling at a level that is accessible for readers with minimal experience
• Presents a unique approach by presenting simple games first to demonstrate individual concepts before moving on to more strategic games that illustrate how these concepts work together

Probability, Decisions and Games: A Gentle Introduction using R is a unique and helpful textbook for undergraduate courses on statistical reasoning, introduction to probability, statistical literacy, and quantitative reasoning for students from a variety of disciplines.

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