Rabin fairness game theory

If the material payoffs are small enough, then this equilibrium is not a Nash equilibrium because player two might switch to swerving out of a desire to punish player one for acting unkindly by swerving—even if doing so means that player one will incur larger losses than if he or she were to continue not swerving. September 19, category: Uncategorized. Leave a Comment. Name required. Mail will not be published required. Introducing Fairness to Game Theory In class, we made two major simplifying assumptions in our discussion of game theory: first, that everything a player cares about is summarized in his or her own payoffs; and second, that each individual chooses a strategy to maximize his or her own payoffs.

Google Search. Entries Comments. Hosted by CampusPress. Rabin Published Economics The American Economic Review People like to help those who are helping them and to hurt those who are hurting them. Outcomes rejecting such motivations are called fairness equilibria. Outcomes are mutual-max when each person maximizes the other's material payoffs, and mutual-min when each person minimizes the other's payoffs.

It is shown that every mutual-max or mutual-min Nash equilibrium is a fairness equilibrium. If payoffs are small, fairness equilibria are roughly the set of mutual-max and mutual-min outcomes; if… Expand. View via Publisher. Save to Library Save. Create Alert Alert. Share This Paper. Background Citations. Methods Citations. Results Citations. Figures from this paper. Citation Type.

Has PDF. Publication Type. More Filters. Patience or Fairness? Analyzing Social Preferences in Repeated Games.

Economics, Computer Science. Fairness and Trust in Game Theory. In order to apply game theory to interactions among people, one needs to know what game people are playing, and to know what game people are playing, one needs to know their preferences. If the … Expand. View 1 excerpt, cites background. Fairness and justice principles in bargaining games. This paper explains how agents, who are located in a network, provide goods that are non-rivalrous and non-excludable among their neighbors.

It … Expand. What Makes an Allocation Fair? Some Experimental Evidence. Games Econ. Abstract The author presents a classroom version of the popular research game called the Ultimatum Game. Researchers are placing growing importance on how fairness affects behavior, and this … Expand. An Incentive Mechanism under Fairness Preference.