zero-sum game

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Zero-sum game

A type of game wherein one player can gain only at the expense of another player.

Zero-Sum Game

A situation where the gain of one person equates to the loss of another person. That is, for every dollar one person makes in a zero sum transaction, another person loses a dollar. Not every transaction is a zero sum game; stock trading is not because some trades are mutually beneficial to the buyer and the seller. Options and commodity markets, however, are zero sum games because wealth cannot be created from these transactions, only shifted. See also: Wealth creation.

zero-sum game

A situation in which one person's gain must be matched by another person's loss. Without considering taxes and transaction costs, many types of investing, such as options and futures, are examples of zero-sum games.

zero-sum game

a situation in GAME

THEORY where game players compete for the given total pay-off, so that gains by one player are at the direct expense of the other player(s). For example, here two firms compete against each other in a mature market where total sales are not expanding, then each firm can increase its sales and market share only at the expense of its competitor.

References in periodicals archive ?
New Delhi, June 14 (ANI): Foreign Secretary Nirupama Rao has proposed that development and security in South Asia should not be a zero sum game.
Khurshid has said that the proposed Equal Opportunity Commission will change the political language of the country from zero sum game of majority minority to equal opportunity for all.
Many commentators seem to view the resulting churn as a zero sum game - consumers will switch between operators in equal numbers and all operators will be worse off as a result of subsidizing these switches," said Michael Kende, principal consultant based in Analysys' Washington D.
This is not a zero sum game with winners and losers but a positive sum game-with India as a strong, stable global democracy increasing peace and prosperity for all.
O'Neal, this data adds to the overwhelming academic research indicating that over the long term, efforts to select active managers who investors believe will outperform the index is a zero sum game.