Mega cities and some large cities have been trying to alleviate serious problems such as traffic congestion, shortage of public services, and environmental pressure by reducing population. Conversely, some cities are facing challenges such as population loss and low density, need to address issues such as inefficient land use, low spatial efficiency, and lack of social vitality. The high concentration of urban population and the density collapse are two sides of spatial imbalance, reflecting the deviation of individual rationality from collective rationality. In this regard, game theory can be used to analyze its practical logic, with a focus on the agglomeration dimension. Research has found that individual rational choices in urban systems make large cities even larger and locked in; In the core-periphery game, the competition to save total commuting distance leads to an overly dense core, while functional duality limits the probability of migration; At the community scale, both medium and high density constitute Nash Equilibrium, but it depends on spatial supply. Therefore, population diversion should be based on individual preferences, and guide the rational allocation of population density by reconstructing the income matrix.