Game Theory is the Cheat Code to Life | Blank Rascal YouTube Video Summary
The narrator touches on the Game of Life and Death and notes that the Game of Life is complicated and like a string of situations. While there are objectively correct strategies to handle many situations, the most rational choice on paper often leads to the least desirable outcome. The video talks about using Game Theory as a "cheat code" to Life in order to make the best decisions in a variety of scenarios.
Detailed Summary:
Game Theory Is The Cheat Code to Life: An Overview
In the video from Blank Rascal, the narrator talks about Game Theory and how it can be seen as a cheat code in order to have a better understanding of how to handle the game of life. Here is a breakdown of some key facts:
The Game of Life
The game of life is complicated and described as a long string of situations. While there are "objectively correct" strategies to handle certain situations, whether you're doing well or not so well, you still have to play, all day, every day until you die.
Playing Death As Opposed to Life
Death is different from life and the life game, you still have to play. There are many choices, many rabbit holes and mini quests that are both important and not so important. For each situation, there may be an objectively correct strategy to handle.
Prisoner's Dilemma / Golden Balls
One can look at the game of "Golden Balls" as it forces contestants to make a simple choice: split the jackpot with their opponent, or steal all of it for themselves. Both players have to make the choice simultaneously, secretly, and with finality, having no control over what the other player does. Players can bargain and lie however they want before the choosing.
The game only has three outcomes:
- Both players pick split and share the jackpot
- One player picks steal and takes the entire jackpot.
- Both players pick steal and receive nothing
Golden Balls is a classic prisoner's dilemma, the most famous problem in game theory. The suggestion is, you must steal. If one assumes their opponent is a rational person, they should steal.
How Do Humans Fit Into Game Theory?
Across all games and players, the decision to split was chosen 53% of the time, with only 47% of players choosing to steal. People, therefore, are imbeciles, and almost 53% behave completely irrationally from the perspective of game theory. Because people can converse, persuade and manipulate, game theory can be thrown off track. Knowing the tendencies of people and learning to read people's body language can also be much more valuable.
Is The Hand You're Dealt Pure Luck?
Life isn't fair. Just playing by game theory can leave you high and dry. So how does one approach life to maximize their own best outcomes? TiptoTat had the highest gains as this can prevent you from acting weak, and helps you get more respect and higher service in repeated games or transactions.
The traits include:
- Niceness (TipforTat was never the first to steal)
- Retaliation (was no pussy and could easily be dragged into wars of attrition).
- Forgiveness (tip for tat held grudges only for one round).
- Clarity (there was a cause and effect to the method of the program which was easily understood)
If these traits are followed, then there is a likelihood of a higher success rate for the individual.