Collective action 1 W5

Non-cooperative game theory

individuals acting in rational self-interest leads to collective irrationality, e.g. nuclear arms race, undermines efficiency and maximin

Prisoners dilemma

Best individually to confess, best collectively to stay silent, break between rationality and efficiency

Nash equilibrium

set of strategies where no player could improve their payoff by changing strategies, given the strategies of the other players, exists for all finite games

Calculate NE

deletion of dominated strategies or intersection of best response function

Mixed NE

not a single nash equilibrium

Security dilemma

Hobbes, no state to provide security life would be bad - solution is to have individuals provide loyalty to an authoritarian state that provides security

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