Game-Theoretic Models of Bargaining provides a comprehensive picture of the new developments in bargaining theory. It especially shows the way the use of axiomatic models has been complemented by the new results derived from strategic models. The papers in this volume are edited versions of those given at a conference on Game Theoretic Models of Bargaining held at the University of Pittsburgh. There are two distinct reasons why the study of bargaining is of fundamental (...) importance in economics. The first is that many aspects of economic activity are directly influenced by bargaining between and among individuals, firms, and nations. The second is that bargaining occupies an important place in economic theory, since the 'pure bargaining problem' is at the opposite pole of economic phenomena from the case of 'perfect competition'. This volume is an outgrowth of the renewed interest in the strategic approach to the theory of bargaining and to the general theory of non-cooperative games. (shrink)

Ever since game theory has become a dominant mode of investigation in economics, critics have pointed out that it is a formally strong but empirically weak, if not empty, practice.1 We argue against the empirical irrelevance of game theory by investigating the architecture of game theoretic explanations more closely. In particular, we study the role of game models, and find that they assume the role of mediators as autonomous relaters of theory and phenomena. We further (...) argue that stories play an essential part in the mediating function of models: stories that recount the phenomena in such a way that it becomes compatible with the theoretical framework. Contrary to some claims, these stories are subject to evaluation by various criteria, some of which are criteria derived from intuitive judgment. These criteria provide the means to judge whether a model represents a phenomenon or not. Through good stories, phenomena can therefore be related to highly abstract models. Applied game theory, we conclude, has therefore empirical content by representing phenomena in an abstract fashion. (JEL B4,C7. Keywords: Economic methodology, Game theory.). (shrink)

The end of the East-West confrontation has by no means put an end to the possibility of war in Central Europe. The outbreak of ethno-religious hostilities in former Yugoslavia made it clear that the previous formation of the Eastern and Western blocks contained a Pandora’s box of ethno-religious conflicts which opened up after the end of the Cold War.

There are many social psychological theories regarding the nature of prejudice, but only one major theory of prejudice reduction: under the right circumstances, prejudice between groups will be reduced with increased contact. On the one hand, the contact hypothesis has a range of empirical support and has been a major force in social change. On the other hand, there are practical and ethical obstacles to any large-scale controlled test of the hypothesis in which relevant variables can be manipulated. Here we (...) construct a spatialized model that tests the core hypothesis in a large array of game-theoretic agents. Robust results offer a new kind of support for the contact hypothesis: results in simulation do accord with a hypothesis of reduced prejudice with increased contact. The spatialized game-theoretic model also suggests a deeper explanation for at least some of the social psychological phenomena at issue. (shrink)

This article sets out to describe and solve two puzzles that emerge in segregated labour markets (e.g. the USA or Sweden). First, in many hiring contexts people profess to adhere to egalitarian norms, and specifically to a qualification norm according to which job qualification should be the basis of employment. Still there is evidence of frequent norm violations (discrimination). Surprisingly, the norm persists and people do not frequently protest against such norm violations. The second puzzle is that people are suspicious (...) of the hiring of minorities, perceiving such hirings as evidence that a ‘political correctness’ norm has replaced the qualification norm. The article proposes that both puzzles can be solved within a game-theoretical model of social norm-following, where implicit bias is introduced into an ‘employment game’. Within this model, implicit bias plays a double role. First, it interferes with employers' hiring decisions regarding ethnic majority and minority members, respectively. This is the standard way of understanding the effects of implicit bias. Second, implicit bias interferes with bystander evaluations of hired candidates' qualifications. This is a hitherto overlooked effect of implicit bias. The article concludes that once we understand the double role of implicit bias, the two puzzles are resolved. (shrink)

Although it is not yet officially recognized as a clinical entity which is diagnosable, Internet Gaming Disorder (IGD) has been included in section III for further study in the DSM-5 by the American Psychiatric Association (APA, 2013). This is important because there is increasing evidence that people of all ages, in particular teens and young adults, are facing very real and sometimes very severe consequences in daily life resulting from an addictive use of online games. This article summarizes general aspects (...) of IGD including diagnostic criteria and arguments for the classification as an addictive disorder including evidence from neurobiological studies. Based on previous theoretical considerations and empirical findings, this paper examines the use of one recently proposed model, the Interaction of Person-Affect-Cognition-Execution (I-PACE) model, for inspiring future research and for developing new treatment protocols for IGD. The I-PACE model is a theoretical framework that explains symptoms of Internet addiction by looking at interactions between predisposing factors, moderators, and mediators in combination with reduced executive functioning and diminished decision making. Finally, the paper discusses how current treatment protocols focusing on Cognitive-Behavioral Therapy for Internet addiction (CBT-IA) fit with the processes hypothesized in the I-PACE model. (shrink)

This paper combines a survey of existing literature in game-theoretic pragmatics with new models that fill some voids in that literature. We start with an overview of signaling games with a conflict of interest between sender and receiver, and show that the literature on such games can be classified into models with direct, costly, noisy and imprecise signals. We then argue that this same subdivision can be used to classify signaling games with common interests, where we fill (...) some voids in the literature. For each of the signaling games treated, we show how equilibrium-refinement arguments and evolutionary arguments can be interpreted in the light of pragmatic inference. (shrink)

In this paper we propose and analyze a game-theoretic model of the epistemology of peer disagreement. In this model, the peers' rationality is evaluated in terms of their probability of ending the disagreement with a true belief. We find that different strategies---in particular, one based on the Steadfast View and one based on the Conciliatory View---are rational depending on the truth-sensitivity of the individuals involved in the disagreement. Interestingly, the Steadfast and the Conciliatory Views can even be rational simultaneously (...) in some circumstances. We tentatively provide some reasons to favor the Conciliatory View in such cases. We argue that the game-theoretic perspective is a fruitful one in this debate, and this fruitfulness has not been exhausted by the present paper. (shrink)

We present an axiomatic approach for a class of finite, extensive form games of perfect information that makes use of notions like “rationality at a node” and “knowledge at a node.” We distinguish between the game theorist's and the players' own “theory of the game.” The latter is a theory that is sufficient for each player to infer a certain sequence of moves, whereas the former is intended as a justification of such a sequence of moves. While in (...) general the game theorist's theory of the game is not and need not be axiomatized, the players' theory must be an axiomatic one, since we model players as analogous to automatic theorem provers that play the game by inferring (or computing) a sequence of moves. We provide the players with an axiomatic theory sufficient to infer a solution for the game (in our case, the backwards induction equilibrium), and prove its consistency. We then inquire what happens when the theory of the game is augmented with information that a move outside the inferred solution has occurred. We show that a theory that is sufficient for the players to infer a solution and still remains consistent in the face of deviations must be modular. By this we mean that players have distributed knowledge of it. Finally, we show that whenever the theory of the game is group-knowledge (or common knowledge) among the players (i.e., it is the same at each node), a deviation from the solution gives rise to inconsistencies and therefore forces a revision of the theory at later nodes. On the contrary, whenever a theory of the game is modular, a deviation from equilibrium play does not induce a revision of the theory. (shrink)

The paper has a twofold aim. On the one hand, it provides what appears to be the first game-theoretic modeling of Napoleon’s last campaign, which ended dramatically on 18 June 1815 at Waterloo. It is specifically concerned with the decision Napoleon made on 17 June 1815 to detach part of his army against the Prussians he had defeated, though not destroyed, on 16 June at Ligny. Military historians agree that this decision was crucial but disagree about whether it was (...) rational. Hypothesizing a zero-sum game between Napoleon and Blücher, and computing its solution, we show that it could have been a cautious strategy on the former's part to divide his army, a conclusion which runs counter to the charges of misjudgement commonly heard since Clausewitz. On the other hand, the paper addresses methodological issues. We defend its case study against the objections of irrelevance that have been raised elsewhere against “analytic narratives”, and conclude that military campaigns provide an opportunity for successful application of the formal theories of rational choice. Generalizing the argument, we finally investigate the conflict between narrative accounts – the historians' standard mode of expression – and mathematical modeling. (shrink)

Game theoretic pragmatics is a small but growing part of formal pragmatics, the linguistic subfield studying language use. The general logic of a game theoretic explanation of a pragmatic phenomenon is this: the conversational context is modelled as a game between speaker and hearer; an adequate solution concept then selects the to‐be‐explained behavior in the game model. For such an explanation to be convincing, both components, game model and solution concept, should be formulated and scrutinized (...) as explicitly as possible. The article demonstrates this by a concise overview of both evolutionary and non‐evolutionary approaches to game theoretic pragmatics, arguing for the use of agent‐based micro‐dynamics within evolutionary, and for the use of epistemic game theory within non‐evolutionary approaches. (shrink)

In this paper, I will discuss why in some circumstances people express their intentions indirectly: the use of Indirect Speech Acts. Based on Parikh’s games of partial information and Franke’s IBR model, I develop game-theoretic models of ISAs, which are divided into two categories, namely non-conventional ISAs and conventional ISAs. I assume that non-conventional ISAs involve two types of communication situations: communication under certain cooperation and that under uncertain cooperation. I will analyse the cases of ironical request and (...) implicit bribery as typical instances of non-conventional ISAs of each situation type, respectively. I then apply the models to analyse the use of conventional ISAs from an evolutionary perspective, which is inspired by Lewisian convention theory. The models yield the following predictions: the use of non-conventional ISAs under certain cooperation relies on the sympathy between interlocutors, which blocks their evolution towards conventional ISAs; in unc... (shrink)

This paper combines a survey of existing literature in game-theoretic pragmatics with new models that fill some voids in that literature. We start with an overview of signaling games with a conflict of interest between sender and receiver, and show that the literature on such games can be classified into models with direct, costly, noisy and imprecise signals. We then argue that this same subdivision can be used to classify signaling games with common interests, where we fill (...) some voids in the literature. For each of the signaling games treated, we show how equilibrium-refinement arguments and evolutionary arguments can be interpreted in the light of pragmatic inference. (shrink)

Talk of ‘robustness’ remains vague, despite the fact that it is clearly an important parameter in evaluating models in general and game-theoretic results in particular. Here we want to make it a bit less vague by offering a graphic measure for a particular kind of robustness— ‘matrix robustness’— using a three dimensional display of the universe of 2 x 2 game theory. In a display of this form, familiar games such as the Prisoner’s Dilemma, Stag Hunt, Chicken (...) and Deadlock appear as volumes, making comparison easy regarding the extent of different game-theoretic effects. We illustrate such a comparison in robustness between the triumph of Tit for Tat in a spatialized environment (Grim 1995, Grim, Mar, and St. Denis 1998) and a spatialized modeling of the Contact Hypothesis regarding prejudice reduction (Grim, et. al 2005a, 2005b). The geometrical representation of relative robustness also offers a possibility for links between geometrical theorems and results regarding robustness in game theory. (shrink)

Robustness has long been recognized as an important parameter for evaluating game-theoretic results, but talk of ‘robustness’ generally remains vague. What we offer here is a graphic measure for a particular kind of robustness (‘matrix robustness’), using a three-dimensional display of the universe of 2 × 2 game theory. In such a measure specific games appear as specific volumes (Prisoner’s Dilemma, Stag Hunt, etc.), allowing a graphic image of the extent of particular game-theoretic effects in terms of (...) those games. The measure also allows for an easy comparison between different effects in terms of matrix robustness. Here we use the measure to compare the robustness of Tit for Tat’s well-known success in spatialized games (Axelrod, R. (1984). The evolution of cooperation . New York: Basic Books; Grim, P. et al. (1998). The philosophical computer: Exploratory essays in philosophical computer modeling . Cambridge, Mass: MIT Press) with the robustness of a recent game-theoretic model of the contact hypothesis regarding prejudice reduction (Grim et al. 2005. Public Affairs Quarterly, 19 , 95–125). (shrink)

When parties and interest groups interact, they can do so in several ways which could be on an informal level, lobbying for a party candidate, or group representatives approach party leaders in the parliament to lobby them on an issue. There is a plethora of studies on the extent to which major political parties and major interests have related in the past and continue to relate or interact at the organizational level. Researchers have investigated to what extent parties and groups (...) had formal organizational ties, cooperated in elections, or worked in concert on developing and implementing policies. Factors that for decades have determined the relationship between political parties and interest groups in liberal democracies are political system and subsystem development, political culture and political ideology, centralization of government and policymaking, nature of the party system, political party dependence on interest groups, encompassing characteristics of the interest group system, interest group development, ideology, and leadership. However, the pandemic has influenced to a great extend the relationship between interest groups and politics. While Covid-19 crisis has consolidated power within governments, leaving opposition parties in a bind, on the other hand it has galvanized interest groups and businesses to mobilize. The pandemic has opened up the lobbying playing field to many new players. The paper aims to investigate to what extend the pandemic has influenced the relationship between political parties, government and interest groups and what strategies have these last ones used to get heard in a time when social distancing has reduced the opportunities for face-to-face lobbying. (shrink)

The conceptual foundations, features, and scope of the notion of rationality are increasingly being affected by developments in embodied cognitive science. This article starts from the idea of embodied rationality, and aims to develop a frame in which a debate with the classical, possibly bounded, notion of rationality-as-consistency can take place. To this end, I develop a game theoretic description of a real time interaction setup in which participants' behaviors can be used to compare the enactive approach, which underlies (...) embodied rationality, with game theoretic approaches to human interaction. The Perceptual Crossing Paradigm is a minimal interaction interface where two participants each control an avatar on a shared virtual line, and are tasked with cooperatively finding each other among distractor objects. It is well known that the best performance on this task is obtained when both participants let their movements coordinate with the objects they encounter, which they do without any prior knowledge of efficient interaction strategies in the system. A game theoretic model of this paradigm shows that this task can be described as an Assurance game, which allows for comparing game theoretical approaches and the enactive approach on two main fronts. First, accounting for the ability of participants to interactively solve the Assurance game; second, accounting for the evolution of choice landscapes resulting from evolving normative realms in the task. Similarly to the series of paradoxes which have fueled debates in economics in the past century, this analysis aims to serve as an interpretation testbed which can fuel the current debate on rationality. (shrink)

Hobbes’s own justification for the existence of governments relies on the assumption that, without a government, our lives in the state of nature would result in a state of war of every man against every man. Many contemporary scholars have tried to explain why universal war is unavoidable in Hobbes’s state of nature by utilizing modern game theory. However, most game-theoretic models that have been presented so far do not accurately capture what Hobbes deems to be the (...) primary cause of conflict in the state of nature – which is uncertainty, rather than people’s egoistic psychology. Any game- theoretic model that does not incorporate uncertainty into the picture is, therefore, I claim, the wrong model. In this paper, I use Bayesian game-theory to show how universal conflict can break-out in the state of nature - even when the majority of the population would strictly prefer to cooperate and seek peace with other people - due to uncertainty about the other person’s type. Along the way, I show that the valuation of one’s own life is one of the central mechanisms that drives Hobbes’s pessimistic conclusion. (shrink)

In this paper, we provide a game-theoretic examination of indirect utilitarianism by comparing the expected payoffs of attempts to apply a deontological principle and a utilitarian principle within the context of the Prisoner’s Dilemma (PD). Although many of the best-known utilitarians and consequentialists have accepted some indirect form of their respective views, the results in this paper suggest that they have been overly quick to dismiss altogether the benefits of directly enacting utilitarian principles. We show that for infallible moral (...) agents, what we call ‘non-autonomous agents’, direct utilitarianism dominates indirect utilitarianism via deontology in terms of achieving the maximized utilitarian outcome, but only in underlying games where the maximized utilitarian outcome involves unequal payoffs. In other situations, indirect utilitarianism implemented through Kantian deontology either ties or dominates direct utilitarianism in terms of achieving the maximized utilitarian outcome. We also examine the two different moralities on the assumption that fallibility, which is a form of autonomy, is an aspect of moral agency by introducing Endogenized Morality Models (EMM’s). We believe that just as indirect utilitarians worry about the cost of applying moral principles, so too they should worry about the fact that humans have both pro-social and materialistically selfish motivations and hence are fallible moral agents. We show that there are conditions under which fallible autonomous utilitarians achieve higher expected material and psychic payoffs than fallible autonomous deontologists and conditions under which they do not. (shrink)

Slurs’ meaning is highly unstable. A slurring utterance like ‘Hey, F, where have you been?’ (where F is a slur) may receive a wide array of interpretations depending on various contextual factors such as the speaker’s social identity, their relationship to the target group, tone of voice, and more. Standard semantic, pragmatic, and non-content theories of slurs have proposed different mechanisms to account for some or all types of variability observed, but without providing a unified framework that allows us to (...) understand how different contextual factors simultaneously influence slurs’ interpretation. To address this issue, I argue that slurs convey dimensional qualities such as, e.g., ‘negative valence, neutral arousal, high dominance’ instead of discrete emotional categories such as ‘contempt’. Then, I translate this hypothesis into a game-theoretic model of slurs’ interpretation inspired by Heather Burnett’s pioneering work on identity construction. This new model, called ‘Affective Meaning Games’ (AMG), captures the variability of slurs and integrates pragmatic reasoning within an independently motivated psychological understanding of emotional states. (shrink)

This study presents an evolutionary game to model interactions among stakeholders with potential conflicts, including the operational enterprise of incineration plant, the local government, and the residents nearby. System dynamics is used to simulate the change of strategic actions corresponding to the three players, in order to seek for the evolutionary stability strategies. A numerical case is proposed to demonstrate the game theory application, in which the impacts of governmental incentive and punishment on the player’s actions are investigated. (...) The results indicated that administrative penalty is effective not only in motivating the enterprises to upgrade treatment facilities for ensuring environmental quality but also in helping the local government and residents to approach dominant strategies. Policy implications are given based on the results to lay out a foundation for the alleviation of the conflicts. (shrink)

Game-theoretic explanations of behavior need supplementation to be descriptive; behavior has multiple causes, only some governed by traditional rationality. An evolutionarily informed theory of action countenances overlapping causal domains: neurobiological, psychological, and rational. Colman's discussion is insufficient because he neither evaluates learning models nor qualifies under what conditions his propositions hold. Still, inability to incorporate emotions in axiomatic models highlights the need for a comprehensive theory of functional rationality.

During a cultural festival, artists and theaters act as a cartel by agreeing on pricing decisions that maximize the groups’ profit as a whole. We model the problem of sharing the profit created by a festival among organizing theaters as a cooperative game. In such a game, the worth of a coalition is defined as the theaters’ profit from the optimal fixation of prices. We show that this class of games is convex and we axiomatically characterize the Shapley (...) value for this class of games. We also provide an axiomatic basis for the downstream incremental solution. Finally, we apply this model to the NEXT festival, for which we have collected data. We propose an approach to derive the games’ vector from the data and we compute the different solutions. (shrink)

The Belief Game is a two-person, nonzero-sum game in which both players can do well [e.g., at (3, 4)] or badly [e.g., at (1,1)] simultaneously. The problem that occurs in the play of this game is that its rational outcome of (2, 3) is not only unappealing to both players, especially God, but also, paradoxically, there is an outcome, (3, 4), preferred by both players that is unattainable. Moreover, because God has a dominant strategy, His omniscience does (...) not remedy the situation, though - less plausibly - if man possessed this quality, and God were aware of it, (3, 4) would be attainable.How reasonable is it to use the device of a simple game to argue that nonrevelation by God, and nonbelief by man, are rational strategies? Like any model of a complex reality, the Belief Game abstracts a great deal from the problem that confronts the thoughtful agnostic asking the most profound of existential questions. Yet, to the degree that belief in God is seen as a personal question, conceptualized in terms of a possible relationship one might have with one's Creator, it seems appropriate to try to model this relationship as a game. The most difficult question to answer, I suppose, is, if God exists, what are His preferences in such a game?I have argued that He would first like to be believed, but at the same time not reveal Himself. These goals, in my opinion, are consistent with the role He assumes in many biblical stories, although this is not to say that the Bible offers the final word on philosophical and theological matters in the modern world. Nevertheless, it seems to me to be a logical place from which to start, and the clues it offers on God's preferences seem not contradicted by contemporary events.Of course, the Belief Game supposes that God not only has preferences but makes choices as well. To many people today - myself included - these choices are not apparent. But if He does make them, and in particular chooses not to reveal Himself, I think the Belief Game helps us to understand why nonrevelation is rational. Furthermore, it gives us insight into why, given this choice by God, our own reasons for believing in Him - in a game-theoretic context - may be rendered tenuous. (shrink)

The generalized theory of evolution suggests that evolutionary algorithms apply to biological and cultural processes like language alike. Variation, selection and reproduction constitute abstract and formal traits of complex, open and often self-regulating systems. Accepting this basic assumption provides us with a powerful background methodology for this investigation: explaining the emergence and proliferation of semantic patterns, that become conventional. A teleosemantic theory of public (conventional) meaning (Millikan 1984; 2005) grounded in a generalized theory of evolution explains the proliferation of public (...) language forms in terms of their adaptive proper function. It has also been suggested, that the emergence of meaning, can be formalized with game-theoretical tools (Skyrms 2010) within signaling systems of coordination. I want to show how closely related these approaches are, both in terms of explanandum and of outcomes. To put it in a nutshell: If the emergence of public meaning can be satisfyingly explained in terms of signaling games, then the cultural evolutionary dynamics will serve as an adequate model to describe their proliferation. Public or conventional meaning (in contrast to personal meaning) can be fully understood in terms of its evolutionary function in a population of communicators. Furthermore, I want to argue how this understanding of conventional meaning could lead us to a strong semantic holism. (shrink)

This book synthesizes the game-theoretic modeling of decision-making processes and an ancient moral requirement, called the Golden Rule of ethics (GR). This rule states, "Behave to others as you would like them to behave to you." The GR is one of the oldest, most widespread and specific moral requirements that appear in Christianity, Islam, Judaism, Buddhism, and Confucianism. The book constructs and justifies mathematical models of dynamic socio-economic processes and phenomena that reveal the mechanism of the GR and (...) are based on the concept of Berge equilibrium. The GR can be naturally used for resolving or balancing conflicts, and its "altruistic character" obviously excludes wars, blood-letting, and armed clashes. The previous book of the authors, The Berge Equilibrium: A Game-Theoretic Framework for the Golden Rule of Ethics, covers the static case of the GR. In this book, the dynamic case of the GR is investigated using the altruistic concept of Berge equilibrium and three factors as follows: a) a modification of N.N. Krasovskii's mathematical formalization of differential positional games (DPGs), in view of the counterexamples given by A.I. Subbotin and A.F. Kononenko; b) the method of guiding control, proposed by N.N. Krasovskii; c) the Germeier convolution of the payoff functions of different players. Additionally, the book features exercises, problems, and solution tips collected together in Appendix 1, as well as new approaches to conflict resolution as presented in Appendices 2-4. The book will be of use to undergraduate and graduate students and experts in the field of decision-making in complex control and management systems, as well as anyone interested in game theory and applications. (shrink)

Universal social institutions, such as marriage, commons management and property, have emerged independently in radically different cultures. This requires explanation. As Boyer and Petersen point out ‘in a purely localist framework would have to constitute massively improbable coincidences’ . According to Boyer and Petersen, those institutions emerged naturally out of genetically wired behavioural dispositions, such as marriage out of mating strategies and borders out of territorial behaviour. While I agree with Boyer and Petersen that ‘unnatural’ institutions cannot thrive, this one-sided (...) explanation of universal social institutions in terms of genetic human nature is unsatisfactory. Drawing on the literature on multi-level selection and gene-culture coevolution, I argue that universal social institutions are first and foremost the products of cultural selection. They occupy fitness peaks in the landscape of cultural possibilities, much in the same way that biological adaptations occupy fitness peaks in the landscape of biological possibilities. To show this, I use game-theory. By modelling the domains of social interaction in which marriage, commons management, and property emerged as Prisoner’s dilemma situations, it becomes clear how an institutional framework allows the group to move to an interactive equilibrium with a larger payoff. Institutions do so by incentivising all parties to adopt a cooperative strategy. They are culturally selected ways of optimising genetically constrained domains of human social interaction. (shrink)

As regimes move from illiberal to liberal, post-transition justice methodology has been employed to engender truth and reconciliation. These normative concepts have evolved into a policy of creating truth and reconciliation commissions that trade civil and criminal amnesty with applicants in ex change for information. This bargained-for exchange can be analyzed as an imperfect information game, where the commission attempts to maximize information while the applicant seeks amnesty for the lowest possible price. Using game-theoretic analysis, the authors model (...) the truth-amnesty game and predict the optimal commission strategy. The analysis leads to the recommendation that future transitional justice commissions employ various specific lexicographic ordering strategies to minimize dead weight loss in the transaction. (shrink)

As regimes move from illiberal to liberal, post-transition justice methodology has been employed to engender truth and reconciliation. These normative concepts have evolved into a policy of creating truth and reconciliation commissions that trade civil and criminal amnesty with applicants in exchange for information. This bargained-for exchange can be analyzed as an imperfect information game, where the commission attempts to maximize information while the applicant seeks amnesty for the lowest possible price. Using game-theoretic analysis, the authors model the (...) truth-amnesty game and predict the optimal commission strategy. The analysis leads to the recommendation that future transitional justice commissions employ various specific lexicographic ordering strategies to minimize dead weight loss in the transaction. (shrink)

This book, first published in 1991, offers an integrative approach to the study of formal models in the social and behavioural sciences. The theory presented here unifies both the representation of the social environment and the equilibrium concept. The theory requires that all alternatives that are available to the players be specified in an explicit and detailed manner, and this specification is defined as a social 'situation'. A situation, therefore, not only consists of the alternatives currently available to the (...) players, but also includes the set of opportunities that might be induced by the players from their current environment. The theory requires that all recommended alternatives be both internally and externally stable; the recommendation cannot be self-defeating and, at the same time, should account for alternatives that were not recommended. In addition to unifying the representation and the solution concept, the theory also extends the social environments accommodated by current game theory. (shrink)

Developing a good theoretical understanding of the role of trust in IR (such as in the events leading to the end of the Cold War) is still an open problem. Most game-theoretic studies of trust do not go beyond the limitations of an (ontologically) individualistic paradigm, thus assuming a pre-defined set of individual strategies. Yet, it is a fact that the predicament of collective trust is empirically resolved in many situations. This paper suggests a new game-theoretic approach—Quantum (...) Game Theory (QGT)—to understand and explain how the predicament of trust is resolved. In a quantum game of trust the actors play the game by simultaneously collectively reconstructing the strategic environment in such a way as to become mutually strategically entangled. Quantum strategic entanglement allows trust to emerge between the two actors without assuming a need for signaling, prior “contract” type of arrangement, or any form of third-party communication. The paper develops and solves such a model of quantum game of trust. (shrink)

To solve the current privacy leakage problems of cloud storage services, research on users’ payment intention for cloud storage services with privacy protection is extremely important for improving the sustainable development of cloud storage services. An evolutionary game model between cloud storage users and providers that considers privacy is constructed. Then, the model’s evolutionary stability strategies via solving the replication dynamic equations are analyzed. Finally, simulation experiments are carried out for verifying and demonstrating the influence of model parameters. The (...) results show that the evolutionary stable strategies are mainly affected by the privacy protection profit growth coefficient of both parties, input costs, free-riding gains, and other factors. If the profit growth coefficient is very small, users will not choose to pay and providers will not choose to actively protect user information. As the profit growth coefficient increases, both parties will promote the development of privacy protection with a higher probability. The results are beneficial for cloud storage providers to increase the number of paid users and thus to achieve the sustainable development of cloud storage service. (shrink)

The cultural red king effect occurs when discriminatory bargaining practices emerge because of a disparity in learning speed between members of a minority and a majority. This effect has been shown to occur in some Nash Demand Game models and has been proposed as a tool for shedding light on the origins of sexist and racist discrimination in academic collaborations. This paper argues that none of the three main strategies used in the literature to support the epistemic value (...) of these models—structural similarity, empirical confirmation, and how-possibly explanations—provides strong support for this modeling practice in its present form. (shrink)

The Nash counterfactual considers the question: what would happen were I to change my behaviour assuming no one else does. By contrast, the Kantian counterfactual considers the question: what would happen were everyone to deviate from some behaviour. We present a model that endogenizes the decision to engage in this type of Kantian reasoning. Autonomous agents using this moral framework receive psychic payoffs equivalent to the cooperate-cooperate payoff in Prisoner’s Dilemma regardless of the other player’s action. Moreover, if both interacting (...) agents play Prisoner’s Dilemma using this moral framework, their material outcomes are a Pareto improvement over the Nash equilibrium. (shrink)

John Maynard Smith is the person most responsible for the use of game theory in evolutionary biology, having introduced and developed its major concepts, and later surveyed its uses. In this paper I look at some rhetorical work done by Maynard Smith and his co-author G.R. Price to make game theory a standard and common modelling tool for the evolutionary study of behavior. The original presentation of the ideas — in a 1973 Nature article — is frequently cited (...) but almost certainly rarely read. It took reformulation of the approach to create a usable model and an object of study. Perhaps paradoxically, the new model dealt with more abstract objects than did its predecessor, but because of that a better case could be made for its realism. The particular strategy of abstraction allowed game-theoretic modelling to gain a certain measure of autonomy from empirical problems, and thus to flourish. (shrink)

Let κ be a singular cardinal. Karp's notion of a chain model of size κ is defined to be an ordinary model of size κ along with a decomposition of it into an increasing union of length cf. With a notion of satisfaction and -isomorphism such models give an infinitary logic largely mimicking first order logic. In this paper we associate to this logic a notion of a dynamic EF-game which gauges when two chain models are chain-isomorphic. (...) To this game is associated a tree which is a tree of size κ with no κ-branches -branches). The measure of how non-isomorphic the models are is reflected by a certain order on these trees, called reduction. We study the collection of trees of size κ with no κ-branches under this notion and prove that when cf = ω this collection is rather regular; in particular it has universality number exactly κ+. Such trees are then used to develop a descriptive set theory of the space cf κ. The main result of the paper gives in the case of κ strong limit singular an exact connection between the descriptive set-theoretic complexity of the chain isomorphism orbit of a model, the reduction order on the trees and winning strategies in the corresponding dynamic EF games. In particular we obtain a neat analog of the notion of Scott watershed from the Scott analysis of countable models. (shrink)

Kaneko-Suzuki developed epistemic logics of shallow depths with multiple players for investigations of game theoretical problems. By shallow depth, we mean that nested occurrences of belief operators of players in formulae are restricted, typically to be of finite depths, by a given epistemic structure. In this paper, we develop various methods of surgical operations (cut and paste) of epistemic world models. An example is a bouquet-making, i.e., tying several models into a bouquet. Another example is to (...) engraft a model to some branches of another model. By these methods, we obtain various meta-theorems on semantics and syntax on epistemic logics. To illustrate possible uses of our meta-theorems, we present one game theoretical theorem, which is also a meta-theorem in the sense of logic. (shrink)

We consider Effort Games, a game-theoretic model of cooperation in open environments, which is a variant of the principal-agent problem from economic theory. In our multiagent domain, a common project depends on various tasks; carrying out certain subsets of the tasks completes the project successfully, while carrying out other subsets does not. The probability of carrying out a task is higher when the agent in charge of it exerts effort, at a certain cost for that agent. A central authority, (...) called the principal, attempts to incentivize agents to exert effort, but can only reward agents based on the success of the entire project.We model this domain as a normal form game, where the payoffs for each strategy profile are defined based on the different probabilities of carrying out each task and on the boolean function that defines which task subsets complete the project, and which do not. We view this boolean function as a simple coalitional game, and call this game the underlying coalitional game. We suggest the Price of Myopia as a measure of the influence the model of rationality has on the minimal payments the principal has to make in order to motivate the agents in such a domain to exert effort.We consider the computational complexity of testing whether exerting effort is a dominant strategy for an agent, and of finding a reward strategy for this domain, using either a dominant strategy equilibrium or using iterated elimination of dominated strategies. We show these problems are generally #P-hard, and that they are at least as computationally hard as calculating the Banzhaf power index in the underlying coalitional game. We also show that in a certain restricted domain, where the underlying coalitional game is a weighted voting game with certain properties, it is possible to solve all of the above problems in polynomial time. We give bounds on PoM in weighted voting effort games, and provide simulation results regarding PoM in another restricted class of effort games, namely effort games played over Series-Parallel Graphs. (shrink)

Chronic pain is one of the most disabling medical conditions globally, yet, to date, we lack a satisfying theoretical framework for research and clinical practice. Over the prior decades, several frameworks have been presented with biopsychosocial models as the most promising. However, in translation to clinical practice, these models are often applied in an overly reductionist manner, leaving much to be desired. In particular, they often fail to characterize the complexities and dynamics of the lived experience of (...) chronic pain. Recently, an enactive, affordance-based approach has been proposed, opening up new ways to view chronic pain. This model characterizes how the persistence of pain alters a person’s field of affordances: the unfolding set of action possibilities that a person perceives as available to them. The affordance-based model provides a promising perspective on chronic pain as it allows for a systematic investigation of the interactive relation between patients and their environment, including characteristic alterations in the experience of their bodies and the space they inhabit. To help bridge the gap from philosophy to clinical practice, we unpack in this paper the core concepts of an affordance-based approach to chronic pain and their clinical implications, highlighting aspects that have so far received insufficient attention. We do so with an analogy to playing video games, as we consider such comparative illustration a useful tool to convey the complex concepts in an affordance-based model and further explore central aspects of the lived experience of chronic pain. (shrink)

This contribution is concerned with a particular model theoretic semantics of the object language of quantum physics. The object language considered here comprises logically connected propositions, sequentially connected propositions and modal propositions. The model theoretic semantics arises from the already established dialogic semantics, if the pragmatic concept of the dialog-game is replaced by a "metaphysical" concept of the game. The game is determined by a game tree, the branches of which constitute a set, the set of (...) "possible worlds" of an individual quantum physical system. The semantic concepts like truth, falsity and valuation are defined with respect to this set. (shrink)

Evolutionary game theory has recently furnished some exciting theoretical and experimental insights regarding the birth of social power and discrimination. But can this type of theory illuminate the history and nature of capitalism? The answer turns out to be negative: evolutionary models are bound to remain either insufficiently evolutionary or hopelessly indeterminate. However, social theorists have much to gain from understanding what would breathe social life into evolutionary game theory's models: a proper historical account of (...) the sources of behavioral variety, and an adaptive mechanism that leaves room for the cunning of human reason. (shrink)

In the last few decades game theory has emerged as a powerful tool for examining a broad range of philosophical issues. It is unsurprising, then, that game theory has been taken up as a tool to examine issues in the philosophy of religion. Economist Steven Brams (1982), (1983) and (2007), for example, has given a game theoretic analysis of belief in God, his main argument first published in this journal and then again in both editions of his (...) book, Superior Beings. I have two main aims in this paper, one specific and one general. My specific aim is to show that Brams’ application of game theory to examine belief in God is, in particular, deeply flawed in two respects. My general aim is to show that any game-theoretic model in which a human being and God are players can only succeed at the cost of abandoning the assumption that God is omnibenevolent. (shrink)

The question of reductionism is an obstacle to unification. Many behavioral scientists who study the more complex or higher mental functions avoid regarding them as selected by motivation. Game-theoretic models in which complex processes grow from the strategic interaction of elementary reward-seeking processes can overcome the mechanical feel of earlier reward-based models. Three examples are briefly described. (Published Online April 27 2007).

Without the active participation of enterprises and front-line workers, it is difficult for the government to perform effective supervision to ensure behavioral safety among front-line workers. To overcome inadequate government supervision and information attenuation caused by vertical management mode and limited resources, and to change passive supervision into active control with the proactive participation of enterprises and workers, this paper combines the entity responsibility mechanism and the third-party participation mechanism based on government supervision to analyze the decision-making process of government (...) and enterprises on safety behavior supervision. An evolutionary game model was established to describe the decision-making interactions between the government and construction enterprises under the two mechanisms, and a simulation was performed to illustrate the factors influencing the implementation of the mechanisms. The results show that both mechanisms have a positive effect on government supervision, and the third-party participation mechanism was found to be working better. The implementation of the two mechanisms is influenced by punishment, subsidy, and cost, and it has different sensitivities to the three influencing factors. This study provides a theoretical framework for enhancing the government supervision mechanism, and the decision-making between the government and construction enterprises enhances the management form and guides their actual supervision practices. (shrink)

Causal reasoning and game-theoretic reasoning are fundamental topics in artificial intelligence, among many other disciplines: this paper is concerned with their intersection. Despite their importance, a formal framework that supports both these forms of reasoning has, until now, been lacking. We offer a solution in the form of (structural) causal games, which can be seen as extending Pearl's causal hierarchy to the game-theoretic domain, or as extending Koller and Milch's multi-agent influence diagrams to the causal domain. We then (...) consider three key questions: i) How can the (causal) dependencies in games - either between variables, or between strategies - be modelled in a uniform, principled manner? ii) How may causal queries be computed in causal games, and what assumptions does this require? iii) How do causal games compare to existing formalisms? To address question i), we introduce mechanised games, which encode dependencies between agents' decision rules and the distributions governing the game. In response to question ii), we present definitions of predictions, interventions, and counterfactuals, and discuss the assumptions required for each. Regarding question iii), we describe correspondences between causal games and other formalisms, and explain how causal games can be used to answer queries that other causal or game-theoretic models do not support. Finally, we highlight possible applications of causal games, aided by an extensive open-source Python library. (shrink)

When von Neumann's and Morgenstern's Theory of Games and Economic Behavior appeared in 1944, one thought that a complete theory of strategic social behavior had appeared out of nowhere. However, game theory has, to this very day, remained a fast-growing assemblage of models which have gradually been united in a new social theory - a theory that is far from being completed even after recent advances in game theory, as evidenced by the work of the three Nobel (...) Prize winners, John F. Nash, John C. Harsanyi, and Reinhard Selten. Two of them, Harsanyi and Selten, have contributed important articles to the present volume. This book leaves no doubt that the game-theoretical models are on the right track to becoming a respectable new theory, just like the great theories of the twentieth century originated from formerly separate models which merged in the course of decades. For social scientists, the age of great discover ies is not over. The recent advances of today's game theory surpass by far the results of traditional game theory. For example, modem game theory has a new empirical and social foundation, namely, societal experiences; this has changed its methods, its "rationality. " Morgenstern (I worked together with him for four years) dreamed of an encompassing theory of social behavior. With the inclusion of the concept of evolution in mathematical form, this dream will become true. Perhaps the new foundation will even lead to a new name, "conflict theory" instead of "game theory. (shrink)

Climate negotiations under the United Nations Framework Convention on Climate Change have so far failed to achieve a robust international agreement to reduce greenhouse gas emissions. Game theory has been used to investigate possible climate negotiation solutions and strategies for accomplishing them. Negotiations have been primarily modelled as public goods games such as the Prisoner’s Dilemma, though coordination games or games of conflict have also been used. Many of these models have solutions, in the form of equilibria, corresponding (...) to possible positive outcomes—that is, agreements with the requisite emissions reduction commitments. Other work on large-scale social dilemmas suggests that it should be possible to resolve the climate problem. It therefore seems that equilibrium selection may be a barrier to successful negotiations. Here we use an N-player bargaining game in an agent-based model with learning dynamics to examine the past failures of and future prospects for a robust international climate agreement. The model suggests reasons why the desirable solutions identified in previous game-theoretic models have not yet been accomplished in practice and what mechanisms might be used to achieve these solutions. (shrink)