If you are more likely to continue a course of action in virtue of having previously invested in that course of action, then you tend to honor sunk costs. It is widely thought both that (i) individuals often do give some weight to sunk costs in their decision-making and that (ii) it is irrational for them to do so. In this paper I attempt to cast doubt on the conventional wisdom about sunk costs, understood as the conjunction of these two (...) claims. (shrink)

Bargaining and distribution of benefits accruing from social cooperation are central topics in contractarian accounts of morality or distributive justice in general and David Gauthier’s Morals by Agreement in particular. In this paper, I raise some problems for MbA both with regards to bargaining over the benefits of social cooperation and the distribution of such benefits. The worries I raise piggyback on a couple of Jan Narveson’s earlier queries of some of the topics in MbA: those of ‘questionable foundation’ and (...) redundancy. However, I go beyond the substance of these queries by arguing that they raise fundamental worries about the correctness of the description of the elements of the bargaining situation, and the role and significance of agreement in MbA. (shrink)

This paper takes up David Gauthier's most recent defense of the rationality of cooperation in prisoner's dilemmas. In that defense, Gauthier argues for a Pareto-optimizing theory of rational choice. According to Gauthier, rational action should sometimes aim at Pareto-optimization, and cooperation in prisoner's dilemmas is rational because it is Pareto-optimizing. I argue that Pareto-optimization cannot justify cooperation in the prisoner's dilemma in a manner that is also consistent with Gauthier's other desiderata. Either: the rationality of cooperation must derive from what (...) is beneficial for the group rather than what is beneficial for the individual, leaving the individual qua individual without any reason to cooperate, or Gauthier cannot explain why defecting in prisoner's dilemmas is not also rational. (shrink)

I develop and defend a version of what I call Disposition-Based Decision Theory (or DBDT). I point out important problems in David Gauthier’s (1985, 1986) formulation of DBDT, and carefully develop a more defensible formulation. I then compare my version of DBDT to the currently most widely accepted decision theory, Causal Decision Theory (CDT). Traditional intuition-based arguments fail to give us any strong reason to prefer either theory over the other, but I propose an alternative strategy for resolving this debate. (...) I argue that we should embrace DBDT because it does better than CDT at the work that we, as a matter of empirical fact, commonly call upon a notion of rationality to do. (shrink)