coordinate their actions. They are aware of one another’s existence, but act
independently. The primary difference between a cooperative and a noncooperative
game is that a binding contract, i.e., an agreement between the parties to which both
parties must adhere, is possible in the former, but not in the latter. An example of a
cooperative game would be a formal cartel agreement, such as OPEC, or a joint
venture. An example of a noncooperative game would be a race in research and
development to obtain a patent.