If you are okay with web resources, here's a course on Game Theory with fairly detailed lecture notes:
http://www.virtualperfection.com/gametheory/And many more, here:
http://www.gametheory.net/lectures/level.plEvolution of Cooperation is excellent to understand the basics of game theory like the prisoner's dilemma, collective stability, equilibrium, ESS etc.. It also helps us develop a level understanding of game theory using which we can model many situations in terms of a game.
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Sometime back I had read V. Raghunathan's 'Games Indians Play: Why we are the way we are'. That is also a fairly good book. Unlike Axelrod's book where he argues how simple, natural and inevitable cooperation is, this book is mostly about how non-cooperation has stabilised in India. As the title suggests, the authors tries to answer the 'why' question through a game theoretical perspective. Specifically, he does it by modelling many of our day to day interactions in terms of prisoner's dilemma (PD). The author suggests that most of the 'non-cooperative bahaviour' that exists in India is because the games we play mostly remain one shot PDs and do not progress into becoming IPDs. (I have some thoughts on this that I'll probably talk about in another post.) The book does not offer anything frightfully new to someone who is familiar with PD and its possibilities. Nonetheless, the book is a welcome and useful approach to understanding India's problems: a lot of times India's problems are stated at very abstract (philosophical, cultural) levels; trying to understand them in terms of economics raises hopes of finding feasible concrete solutions.
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