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UltimatumGame
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Another insight from the book "The Wisdom of Crowds" by the author James Surowiecky comes from the empirical tested outcomes of this game, "... perhaps the most-well-known experiment in behavioral economics"'' .
In this game there are two players, the proposer p and the responder r and an amount of sharable money m, say m=10$, that can only be gained, if p and r come to an agreement.
The proposer p now can offer an arbitrary split of the money m=mp+mr, with 0<=mp<=m, which the responder can accept or decline.
If r accepts, then p gets mp dollars and r gets mr=m-mp dollars. If r declines, then both get mp=mr=0, i.e. zero dollars.
Example
If p (being socially very insensible) offers a split of (9$,1$), with the intention to keep mp=9$ for him-/herself, leaving the shabby mr=1$ to the responder, then experience shows, that usually p is punished by the responder of rejecting the offer, where at the same time the responder r is punishing her/himself with losing the opportunity to earn one dollar.
The surest bet for p to come to an agreement is offering an even split of (5$, 5$).
This game can be easily generalized to
- a dynamical multiplayer team , i.e. n>2 players p1,..,pn, where the playing team is open to new members (Open Invitation To Participate)
- iterated rounds
- multiple projects, where everyone can be a proposer, based on their initial buy of a domain to share, setting up a new m to share
- dynamical money pool m that increases in value by transparent and interacting communication of the partners and interested third parties (MarketsAreConversations)
Application
To apply this basic insight to SocialDomaining as ExtremeOpenBusiness, here are some additional considerations:
- m can be seen as the additional money, that can be gained by synergic actions, e.g. p1,..,pn increasing the
- conceptional value of a shared domain for the targeted buyer(s)
- page rank of Google, and at the same time
- building a network of demonstrable mutual trust by open transactions.
Invitation to Conversation and Participation
FridemarPache: Yes, this is a real economic game with real money and real business opportunities, all transactions made visible and open; besides that, it is a real thing to reflect on it.
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