The bargaining solution’s appeal derives from its focal quality, not its formal derivation
Evidence
What does this prove or suggest? I am not arguing for the Nash point. I am arguing rather that the appeal of the Nash point to a game theorist (as introspective game player) may be the reverse of the sequence I have just run through. It may be the focal quality of the Nash-point in the pure coordination game—the unequivocal usefulness of a uniquely defined symmetry concept, when no nonmathematical impurities are available to help—that makes it a controlling influence in the tacit and terribly cooperative boundary-line variant of the game; that in turn makes it a reliable guide in the less demanding tacit bounded-area variant of the game; and that in turn takes the heart out of any player in the explicit bargaining game who might hope that expectations could focus anywhere else. — Thomas C. Schelling, The Strategy of Conflict, 668
Categorization
- DEEPTHINKING: Reverses the standard genealogy of the Nash solution — coordination focal quality precedes and explains bargaining power, a genuinely paradigm-shifting inversion.
- XREF: Directly supports the reader’s claim that private-enforcement conventions arise from focal coordination before any formal bargaining logic can apply. — connects to: Tacit bargaining forces one party to accept an unfair focal point — Thomas C. Schelling, The Strategy of Conflict, 150; Tacit bargaining requires coordinating on equivalent solutions, not just equal-valued ones — Thomas C. Schelling, The Strategy of Conflict, 859; Bargaining outcomes rest on convergent reflexive expectations, not on force or merit — Thomas C. Schelling, The Strategy of Conflict, 177 (+1 more)
Related
- Tacit coordination supplies the empirical premise Nash solution concepts require (similarity 0.87)
- Tacit bargaining requires coordinating on equivalent solutions, not just equal-valued ones (similarity 0.86)
- Bargaining outcomes rest on convergent reflexive expectations, not on force or merit (similarity 0.86)
- Explicit bargaining outcomes rest on prior tacit coordination between rational players (similarity 0.86)
- Even explicit bargaining relies on tacit signals to coordinate expectations (similarity 0.85)
- Tacit bargaining over distribution can be conducted only through play itself. (similarity 0.83)
- Tacit-bargaining theory guides where to seek terms, not their probability (similarity 0.83)
- Tacit and explicit bargaining form one continuum dependent on coordinated expectations (similarity 0.83)
- Rational players can correlate strategies without communicating, even with conflicting preferences (similarity 0.82)
- Perfect move symmetry neutralizes all interesting bargaining moves in advance. (similarity 0.82)
- Tacit bargaining forces one party to accept an unfair focal point (similarity 0.81)
- Nuclear arms negotiations are an open-ended bargaining problem beyond fixed payoff matrices (similarity 0.81)
- Rational players must factor non-mathematical focal details into strategy (similarity 0.81)
- Conflict situations are essentially bargaining situations (similarity 0.80)
- Formal game theory abstracted away the communication and enforcement systems it needs (similarity 0.80)
Broader Connections
- Bargaining outcomes rest on convergent reflexive expectations, not on force or merit
#expands(0.85) — Thomas C. Schelling, The Strategy of Conflict, 177 - Tacit bargaining forces one party to accept an unfair focal point
#qualifies(0.80) — Thomas C. Schelling, The Strategy of Conflict, 150 - Tacit bargaining requires coordinating on equivalent solutions, not just equal-valued ones
#expands(0.75) — Thomas C. Schelling, The Strategy of Conflict, 859 - Even explicit bargaining relies on tacit signals to coordinate expectations
#expands(0.75) — Thomas C. Schelling, The Strategy of Conflict, 187