A TV game show Jeopardy! contestant who uses a strategy to seek out the hidden Daily Double questions, which are usually the three highest-paying and most difficult questions in the categories instead of the more common approach of selecting a single category and selecting questions gradually increasing in the degree of difficulty, has been highly successful. What is this an application of?

Game theory.

Explanation:

In the TV game show Jeopardy! Game theory allows contestant to use a strategy to seek out the hidden Daily Double questions, instead of the more common approach of selecting a single category and selecting questions gradually increasing in the degree of difficulty.

Game theory is the process of using mathematical model in the study of strategic interaction between two or more players in a game or situation having laid down rules and outcomes.

answer; the above statement is (true);