On Fri, 22 Sep 2000, David Honig wrote:
Science V 289 8 Sept 2000 p 1773-1775
"Fairness vs Reason in the Ultimatum Game" Nowak, Page, Sigmund
(from the abstract)
"The rational solution, suggested by game theory, is for the proposer to offer the smallest possible share and for teh responder to accept it.
It is? That isn't any strategy I've ever seen touted as optimal except in a 'single' shot market. Which doesn't happen to conform to a 'free' market model. I"ll leave it as an excersize on why the 'smallest possible share' price will inflate and over a reasonably short period will equalize at a 'fair' price in an interated or multi-vendor market. I will give one hint: "Indiviualism and Economic Order" F.A. Hayek ISBN 0-226-32093-6 ____________________________________________________________________ He is able who thinks he is able. Buddha The Armadillo Group ,::////;::-. James Choate Austin, Tx /:'///// ``::>/|/ ravage@ssz.com www.ssz.com .', |||| `/( e\ 512-451-7087 -====~~mm-'`-```-mm --'- --------------------------------------------------------------------