Individual rationality condition

The individual rationality condition is a common secondary condition in game theory maximization problems. This means that every player secures an individual benefit that is at least as high as the benefit that he can achieve on his own. Accordingly, a player does not agree to any negotiation result that would put him in a worse position than an alternative non-cooperation.

The application of the individual rationality condition leads to the game-theoretical optimum, the so-called Nash equilibrium .