Saturday, January 15, 2011
Thinking Strategically: The Competitive Edge in Business, Politics, and Everyday Life
Chapter 2
sequential game
simultaneous game
Chapter 3
Dominant Strategy
One course of action that outperforms all others no matter what the other players do.
Chapter 7 Unpredictability
When you know that the person you are talking to has in his interest a desire to mislead you, it may be best to ignore any statements he makes rather than accept them at face value or to infer that exactly the opposite must be the truth. (曹操华容道) (page 187)
Chapter 8 Brinkmanship
Brinkmanship
The strategy of taking your opponent to the brink of disaster, and compelling him to pull back. (page 205)
Chapter 9 Cooperation and Coordination
The invisible hand at best applies only to situations in which everything has a price. In many instances outside of economics, and even in many within, people are not charged a fine for doing harm to the rest of society, nor given a reward for doing good to someone else. (page 224)
Here pollution is an unpriced good (actually a bad), and the problem is that there is no economic incentive to temper the firm's selfish interest in supplying a large amount of pollution. (page 225)
Everyone might do the individually best thing, but this ends up worst from their collective viewpoint. (page 225)
Bandwagon Effect
No individual user would want to bear the cost of changing the social convention. (e.g. the keyboard sequence QWERTY) (page 233)
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