Saturday, November 2, 2019

Trust

Note: this is kind of a choose your own adventure.
In WW1(World War 1), peace broke out. It was Christmas, British and German soldiers left the trenches. They gathered to exchange gifts and play games. Why even in peace time, do friends become foes. And why even in wartime, do foes become friends. Perhaps game theory can explain it all! Here is the game: you want the most coins, and you have a opponent who wants coins too, you can either cheat, or cooperate. if both cheat, no one gets anything. If both cooperate, both get +2 coins, if one cooperates and other cheats, the one who cooperates get -1 coin and the person who  cheats gets +3 coins. Now your opponent cheats, do you CHEAT or COOPERATE?

You cheated: Exactly, if you cheat, you don't lose anything. If you cooperate, you lose a coin!

You cooperated: Bad idea, you're gonna lose a coin, if you just did the opposite, you wouldn't lose the coin.

Now the other player cooperates. What do you do?

You cheated: Mean, and correct. You got +3 coins and the alternative would give you +2 coins.

You cooperated: Seems correct... except it's not! You got only +2 coins but the alternative would give +3 coins.

Lesson: Trust is nice, but it lets other people take advantage of you. Be careful!

Trust

Note: this is kind of a choose your own adventure. In WW1(World War 1), peace broke out. It was Christmas, British and German soldiers...