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Schelling's Game TheoryHow to Make Decisions$
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Robert V. Dodge

Print publication date: 2012

Print ISBN-13: 9780199857203

Published to Oxford Scholarship Online: May 2012

DOI: 10.1093/acprof:oso/9780199857203.001.0001

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Strategies Defined and Illustrated

Strategies Defined and Illustrated

(p.65) Chapter 6 Strategies Defined and Illustrated
Schelling's Game Theory


Oxford University Press

This chapter begins with a problem from Schelling's class, namely how to introduce strategic commitment, followed by an answer and an explanation. It outlines four strategies by Schelling that are at times used interchangeably: commitments, threats, warnings, and promises. To clarify the differences the reader is presented with a scenario with strategies to consider. Each strategy is defined and illustrated with a 2 × 2 matrix. A question shows a matrix and asks which strategy could be employed to change the payoff received and what would be gained, followed by a short explanation. The chapter ends with a review list of ten situations, most of which are taken from a Schelling assignment that are to be categorized as one of the four strategies. A supplement, “Will Chicken Out?” is about Schelling's advice to President Kennedy to make a commitment during the Berlin Crisis of 1961, and the result being a “chicken dilemma.” Following the column the chicken dilemma matrix is presented and explained.

Keywords:   threats, promises, commitment, warnings, chicken dilemma

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