History of foundation of Nobel prize? Key words



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History

Game theory? Key words: social situations, prisoner's dilemma, the dictator game
Game theory is a theoretical framework for conceiving social situations among competing players. In some respects, game theory is the science of strategy, or at least the optimal decision-making of independent and competing actors in a strategic setting. Using game theory, real-world scenarios for such situations as pricing competition and product releases (and many more) can be laid out and their outcomes predicted. Scenarios include the prisoner's dilemma and the dictator game among many others.
Public Choice Theory?
Key words: public sector actors, "politics without romance", human nature
Public choice applies the theories and methods of economics to the analysis of political behavior, an area that was once the exclusive province of political scientists and sociologists. As James Buchanan artfully defined it, public choice is “politics without romance.” The wishful thinking it displaced presumes that participants in the political sphere aspire to promote the common good. Public choice, in other words, simply transfers the rational actor model of economic theory to the realm of politics. They are the same human beings, after all. The final is the self-interested nature of all individuals within the political system.
According to Smith, why do people care about the well-being of others?
Key words: steer humans toward productive pursuits, competition for scarce resources, efficiency, through supply and demand
The Theory of Moral Sentiments of 1759, Smith suggests that human beings have a natural tendency to care about the well-being of others for no other reason than the pleasure one gets from seeing them happy, which he calls sympathy or fellow-feeling, and writes: “Among the moralists who endeavour to correct the natural inequality of our passive feelings by diminishing our sensibility to what peculiarly concerns ourselves, we may count all the ancient sects of philosophers, but particularly the ancient Stoics. Man, according to the Stoics, ought to regard himself, not as something separated and detached, but as a citizen of the world, a member of the vast commonwealth of nature.” I suspect, although one can never be sure, that Smith would be more than concerned at the increasing rate of inequality and ignorance and the actions of the banking and finance sector.



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