Game theory provides a formalized method to understand competing strategies in various fields, including economics, political science, and psychology. It involves the study of games, which are defined by players, strategies, and payoffs. Players are individuals or groups involved in an interaction; strategies are the plans of action players may choose; and payoffs are the results of the strategies' implementation quantified, usually in terms of utility or profit. Classic models of game theory include the Nash Equilibrium, where no player has an incentive to deviate from their chosen strategy given the strategies of others, and the Prisoner's Dilemma, illustrating the conflict between cooperative and non-cooperative behavior.