Robert Aumann The Center for Rationality The Hebrew University, Jerusalem The Fifth European Conference Jerusalem, September 2008
a. Bees, flowers, and nectar (Andreas Bertch, circa 1985, unpublished) Q: Actually, why would you expect rationality from a bee? A: EVOLUTION – survival of the fittest (explain)
- John Harsanyi
- John Stuart Mill
- Fyodor Dostoyevsky
- Jeremy Bentham
(“Thou shalt not murder”) – or the ACT (“Is this murder justified?”) In either case, judgments are made on a UTILITARIAN basis (i.e., maximum welfare of society)
Rule Rationality vs. Act Rationality In making decisions, should one consider the RULE? (“Stick to what you’ve learned”) – or the ACT (“How do you get nectar?”) In either case, judgments are made on an EGOTISTIC basis (i.e., maximum individual welfare)
In the Ultimatum Game: Should one consider the RULE? Don’t let people kick you in the stomach! – or the ACT Should I take DM 20 or nothing? Why shouldn’t I just maximize my welfare? What’s the importance of the “RULE”?
A: Rule Rationality is a POSITIVE notion, not a NORMATIVE one (unlike Rule Utilitarianism). Rationality is an expression of evolutionary forces, which work by the RULE, not the exception, not the contrived situation. BEES & FLOWERS ULTIMATUM GAME Nature develops mechanisms that are RULE RATIONAL
Mechanisms BEES & FLOWERS ULTIMATUM GAME PRIDE, SELF-RESPECT, INSULT, REVENGE
Other Examples: Hunger & enjoyment of food Bees & orchids Enjoyment of sex Polls – giving the “right” answer (Yonatan) Camerer’s taxi drivers Room temperature Probability matching - – Choosing a route to get to work (Dreze)
Repeated prisoner’s dilemma Recency Professor Selten’s Umbrella
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