Game Theory of Communism and Capitalism
by Dean Michael Gores
In this article I model and examine two most popular economic systems with game theory: Communism and Capitalism. My models will be pure Communism and pure Capitalism, both are not possible due to cheaters in the real world, but they can be implemented to a close approximation. [...]
[...] I will now present mathematical analysis of these systems using game theory. Game theory is a tool used in decision making, particularly when other people's decisions influence the rewards of your choices. In game theory, the goal is to maximize your gains and minimize your losses. You expect others will make choices that are best for themselves. Below are the choices an individual has in each pure economic system, and the results of the individual's choices.
Imagine a Simple Situation where people can choose to between working and relaxing. Each day, a person consumes 1 day's worth of values such as food, shelter, and water that enables them to live. When a person works a day, they create enough life enabling values for a person to survive 4 days (values such as acquiring / creating food / shelter / water / etc). When a person works a day, their extra effort for working that day makes them hungrier and puts more wear on their belongings, costing them an extra 1/2 day of values. When a person relaxes through a day, they do not create any values, but they still consume 1 day's worth of values.[...]
Recommended reading & distribution.
Aca inventaron otro, tenes el capitalismo, el comunismo y el conurbaniso.
ReplyDeleteA largo plazo el socialismo es SIEMPRE perjudicial.
ReplyDelete