Game theory and mutual misunderstanding : scientific dialogues in five acts / Mamoru Kaneko ; translated by Ruth Vanbaelen and Mamoru Kaneko.

Format:

Book

Author/Creator:

Kaneko, Mamoru.

Series:

Studies in economic theory (Berlin, Germany) ; 21.

Studies in economic theory ; 21

Standardized Title:

Nihon Hyoron-sha English

Language:

English

Subjects (All):

Game theory.

Physical Description:

x, 247 pages : illustrations ; 24 cm.

Place of Publication:

Berlin : Springer-Verlag, 2005.

Summary:

This book consists of five acts and two interludes, which are all written as dialogues between three main characters and other supporting characters. Each act discusses the epistemological, institutional and methodological foundations of game theory and economics, while using various stories and examples. A featured aspect of those discussions is that many forms of mutual misunderstanding are involved in social situations as well as in those fields themselves. One Japanese traditional comic story called the Konnyaku Mondo is representative and gives hints of how our thought is constrained by incorrect beliefs. Each dialogue critically examines extant theories and common misunderstanding in game theory and economics in order to find possible future developments of those fields.

Contents:

Act 1 The reversal of particularity and generality in economics 1

Scene 1 The St Petersburg game 1

Scene 2 Paradox 10

Scene 3 Generalities in economics and game theory 20

Scene 4 The reversal of particularity and generality 27

Act 2 Konnyaku Mondo and Game Theory 39

Scene 1 Konnyaku Mondo 39

Scene 2 The Prisoner's Dilemma and the Battle of the Sexes 49

Scene 3 Games with incomplete information 58

Scene 4 Rashomon 69

Act 3 The market economy in a rage 79

Scene 1 Market equilibrium and social dilemma 79

Scene 2 Market failure and widespread externalities 88

Scene 3 Epistemological consideration of perfect competition 99

Scene 4 Institutional consideration of perfect competition 110

Interlude 1 Clouds hanging over economics and game theory 121

Interlude 2 Game theory in a crisis 127

Act 4 Decision making and Nash equilibrium 139

Scene 1 Recent topics 139

Scene 2 Interpretations of the Nash equilibrium 150

Scene 3 Infinite regress and common knowledge 161

Scene 4 Mixed strategies 174

Scene 5 Equilibrium as a stationary state 189

Act 5 The individual and society 195

Scene 1 Individualism 195

Scene 2 Ism 207

Scene 3 Connections between the individual and society 217

Scene 4 Internal mental structure of the individual 226.

Notes:

Includes bibliographical references.

ISBN:

3540222952

OCLC:

56616814