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Risk and Return Considerations in the Weakest Link 1. Introduction
Risk and Return Considerations in The Weakest Link B. Ross Barmish and Nigel Boston Electrical and Computer Engineering Department University of Wisconsin Madison, WI 53706 Abstract The television game show, The Weakest Link, involves contestants making a sequence of decisions over time. Given the rules of the game and the process for accrual of payoffs over time, a number of authors have recognized that this show serves as a laboratory for assessment of human decision-making. To this end, by comparing theoretically derived gaming strategies with those actually used by the contestants, conclusions are drawn regarding the extent to which players’ decisions are rational and consistent with the pursuit of optimality. The first main objective of this paper is to provide arguments that the models used in the literature to date may result in an erroneous impression of the extent to which contestants’ decisions deviate from the optimum. More specifically, we first point out that previous authors, while concentrating on maximization of the expected value of the return, totally neglect the risk component; i.e., the expected return is considered while its variance is not. To this end, we expand the analysis of previous authors to include both risk and return and a number of other factors: mixing of strategies and so- called end effects due to fixed round length. It is seen that many strategies, discounted by previous authors as being sub-optimal in terms of maximization of expected return, may in fact be consistent with rational decision-making. That is, such strategies satisfy a certain “efficiency” requirement in the risk-return plane. -
THE WEAKEST LINK a Field Experiment in Rational Decision
UC@X@6F@TUGDIF 6svryqrr vrv hvhyqrpvvhxvt Marco Haan Bart Los University of Groningen University of Groningen Yohanes Riyanto Martin Van Geest National University of Singapore University of Groningen - P R E L I M I N A R Y - February 5, 2002 6i hp We analyze the BBC TV game show “The Weakest Link”, using data from 77 episodes, cover- ing 13,380 questions. We focus on the banking decision, where a contestant chooses to secure an amount of money for the eventual winner, or to risk it on a general knowledge question. In the latter case, should he answer correctly, the amount at stake increases exponentially. We show that banking decisions are not rational: a crude rule of thumb performs substantially better than the contestants’ strategies. Yet, at least to some extent, contestants do take into account their own ability and the fact that questions are progressively more difficult. 1 Haan, Los, and van Geest: Department of Economics, University of Groningen, PO Box 800, 9700 AV Groningen, the Netherlands. E-mail: [email protected], [email protected], [email protected]. Riyanto: Department of Economics, National University of Singapore, 1Arts Link, Singapore 117570. E-mail: [email protected]. D qpv A widely discussed question in economics is whether real-life economic agents really are ra- tional, in the sense that they maximize some objective function within the limits imposed by given conditions and constraints placed upon them by their environment (see e.g. Simon, 1964). Even more importantly, if agents do not behave like this, then in what ways does their behavior deviate from that rational model, and to what extent does it comply with at least some elements of rational decision-making? Empirical evidence on such issues comes primarily from the experimental literature (for a survey, see Kagel and Roth, 1995). -
Weakest Link
Weakest Link The use of a weak element that will fail in order to protect other elements in the system from damage. It is said that a chain is only as strong as its weakest link. This suggests that the weakest link in a chain is also the least valuable and most expendable link—a liability to the system that should be reinforced, replaced, or removed. However, the weakest element in a system can be used to protect other more important elements, essentially making the weakest link one of the most important elements in the system. For example, electrical circuits are protected by fuses, which are designed to fail so that a power surge doesn’t damage the circuit. The fuse is the weakest link in the system. As such, the fuse is also the most valuable link in the system. The weakest link in a system can function in one of two ways: it can fail and passively minimize damage, or it can fail and activate additional systems that actively minimize damage. An example of a passive design is the use of fuses in electrical circuits as described above. An example of an active design is the use of automatic sprinklers in a building. Sprinkler systems are typically activated by components that fail (e.g., liquid in a glass cell that expands to break the glass when heated), which then activate the release of the water. Applying the weakest link principle involves several steps: identify a failure condition; identify or define the weakest link in the system for that failure condition; further weaken the weakest link and strengthen the other links as necessary to address the failure condition; and ensure that the weakest link will only fail under the appropriate, predefined failure conditions. -
Empirical Explorations on the Relative Importance of Weak and Strong Ties on Social Networking Sites
Societies 2014, 4, 785–809; doi:10.3390/soc4040785 OPEN ACCESS societies ISSN 2075-4698 www.mdpi.com/journal/societies Article Let the Weakest Link Go! Empirical Explorations on the Relative Importance of Weak and Strong Ties on Social Networking Sites Nicole C. Krämer *, Leonie Rösner †, Sabrina C. Eimler †, Stephan Winter † and German Neubaum † Social Psychology: Media and Communication, Faculty of Engineering, University of Duisburg-Essen, Forsthausweg 2, Duisburg 47057, Germany; E-Mails: [email protected] (L.R.); [email protected] (S.C.E.); [email protected] (S.W.); [email protected] (G.N.) † These authors contributed equally to this work. * Author to whom correspondence should be addressed; E-Mail: [email protected]; Tel.: +49-203-379-2482. External Editors: Sonja Utz and Nicole Muscanell Received: 30 July 2014; in revised form: 29 August 2014 / Accepted: 2 December 2014 / Published: 18 December 2014 Abstract: Theoretical approaches as well as empirical results in the area of social capital accumulation on social networking sites suggest that weak ties/bridging versus strong ties/bonding social capital should be distinguished and that while bonding social capital is connected to emotional support, bridging social capital entails the provision of information. Additionally, recent studies imply the notion that weak ties/bridging social capital are gaining increasing importance in today’s social media environments. By means of a survey (N = 317) we challenged these presuppositions by assessing the social support functions that are ascribed to three different types of contacts from participants’ network (weak, medium, or strong tie). -
Weakest-Link Control of Invasive Species: Impacts of Memory, Bounded Rationality and Network Structure in Repeated Cooperative Games
Weakest-link control of invasive species: Impacts of memory, bounded rationality and network structure in repeated cooperative games. Adam Kleczkowski 1, 2 , Andrew Bate 3, Michael Redenti 2 and Nick Hanley 4 1 Dept. of Mathematics and Statistics, University of Strathclyde, Glasgow, United Kingdom 2 Faculty of Natural Sciences, University of Stirling, Stirling, United Kingdom 3 Department of Environment, University of York, York, United Kingdom 4 IBAHCM, University of Glasgow, United Kingdom Corresponding Author: Adam Kleczkowski Dept. Mathematics and Statistics, University of Strathclyde, Glasgow G1 1XH, United Kingdom Email address: [email protected] Keywords: Bioeconomic modelling; cooperation games; repeated games; networks; agriculture; crop protection; disease control; pest control. JEL classification: C69, C72, C91, C92 Abstract The nature of dispersal of many invasive pests and pathogens in agricultural and forestry makes it necessary to consider how the actions of one manager affect neighbouring properties. In addition to the direct effects of a potential spread of a pest and the resulting economic loss, there are also indirect consequences that affect whole regions and that require coordinated actions to manage and/or to eradicate it (like movement restrictions). In this paper we address the emergence and stability of cooperation among agents who respond to a threat of an invasive pest or disease. The model, based on the weakest-link paradigm, uses repeated multi-participant coordination games where players’ pay-offs depend on management decisions to prevent the invasion on their own land as well as of their neighbours on a network. We show that for the basic cooperation game agents select the risk-dominant strategy of a Stag hunt game over the pay-off dominant strategy of implementing control measures. -
FROGEE POLICY BRIEF 3 Insights from Georgia
POLICY BRIEF SERIES FROGEE POLICY BRIEF 3 Insights from Georgia March, 2021 Women in politics: why are they under-represented? Pamela Campa, SITE Political empowerment: Georgia’s weakest link towards gender equality progress? Davit Keshelava, ISET Policy Institute Salome Deisadze, ISET Policy Institute Levan Tevdoradze, ISET Policy Institute Abstract Women in politics: why are they under-represented? Page 3-7 Women are generally under-represented in political offices worldwide, and their under-representation becomes larger in more senior positions. In this brief I review some recent academic literature in economics and political science on the likely causes of women’s under-representation. Broadly speaking, the literature has divided such causes into “supply-side” and “demand-side” factors: the former include women’s potentially lower willingness to run for political office, whereas the latter include voters’ and party leaders’ prejudices against women in politics. Understanding the underlying causes of women’s under-representation in political institutions is crucial in order to design the most effective policies to address the existing gender gaps. In concluding I summarize some of the policies that have been proposed or used to empower women in politics and review the evidence on their effectiveness when available. Political empowerment: Georgia’s weakest link towards gender equality progress? Page 7-10 In this brief we review the most recent evidence on women’s representation in Georgian politics, including the data from the 2020 Parliamentary elections. We find that introducing gender quotas in 2020 party lists have resulted in a slight improvement of the share of women in the Parliament. -
P. Demetriades, Minsky 2019
Hyman P Minsky Conference Levy Instutute, Bard College 17 April 2019 Session on Outlook for reform of the euro system Central bank independence Panicos Demetriades and the future of the euro !1 Outlook for reform • Much of the discussion has focussed on gaps in the euro’s architecture • A European Deposit Insurance Scheme (EDIS) to complete the banking union - Germany demanding risk reduction (including reducing NPLs) before agreeing to Commission proposals • Disagreements between France and Germany centering around risk sharing vs risk reduction have meant that moves towards more risk sharing have stalled • Franco-German economists proposal aims to break the deadlock by recommending measures to both reduce risk and improve risk sharing • Little discussion on whether the current architecture is working, instead Eurozone is congratulating itself for getting through the crisis with the euro intact !2 The euro has survived the crisis…but at what cost? • Major setbacks to central bank independence (CBI) • Since 2014, four Eurosytem central bank governors have resigned or were removed from office (Cyprus, Slovenia, Latvia, Slovakia) • Others have come under political pressure to resign (e.g. Greece, Portugal) • Appointments of cronies and unqualified sympathisers on central bank boards • Money laundering scandals have embarassed the ECB (Latvia, Estonia, Malta, Cyprus) and have exposed new financial stability risks (e.g. bank run on ABLV) • They have exposed the incompleteness of the first pillar of the banking union - banking supervision - as -
Backstop’ Paralysis: a Way Out
The ‘Backstop’ Paralysis: A Way Out A Policy Exchange Briefing Note Lord Bew About the Author Lord Bew of Donegore is a Crossbench peer, former Chair of the Committee on Standards in Public Life, Professor of Irish Politics and author of The Politics of Enmity: The Oxford History of Modern Ireland and The Making and Remaking of the Good Friday Agreement. Policy Exchange Policy Exchange is the UK’s leading think tank. We are an independent, non-partisan educational charity whose mission is to develop and promote new policy ideas that will deliver better public services, a stronger society and a more dynamic economy. Policy Exchange is committed to an evidence-based approach to policy development and retains copyright and full editorial control over all its written research. We work in partnership with academics and other experts and commission major studies involving thorough empirical research of alternative policy outcomes. We believe that the policy experience of other countries offers important lessons for government in the UK. We also believe that government has much to learn from business and the voluntary sector. Registered charity no: 1096300. Trustees Diana Berry, Alexander Downer, Andrew Feldman, Candida Gertler, Patricia Hodgson, Greta Jones, Edward Lee, Charlotte Metcalf, Roger Orf, Andrew Roberts, George Robinson, Robert Rosenkranz, Peter Wall, Nigel Wright. 2 – The ‘Backstop’ Paralysis: A Way Out Summary: 1. The UK Government has allowed the Irish Government to weaponise the 1998 Good Friday Agreement in a way that prevents compromise on the Backstop. This partial reading of the Good Friday Agreement risks generating further difficulties for the peace process in Northern Ireland. -
Getting Georgia Right
Getting Georgia Right Svante Cornell Getting Georgia Right Getting Georgia Right Svante Cornell CREDITS Centre for European Studies Rue du Commerce 20 B-1000 Brussels The Centre for European Studies (CES) is the political foundation and think tank of the Euro- pean People’s Party (EPP), dedicated to the promotion of Christian Democrat, conservative and like-minded political values. For more information please visit: www.thinkingeurope.eu Editor: Ingrid Habets, Research Officer (CES), [email protected] External editing: Communicative English bvba Typesetting: Victoria Agency Layout and cover design: RARO S.L. Printed in Belgium by Drukkerij Jo Vandenbulcke This publication receives funding from the European Parliament. © Centre for European Studies 2013 The European Parliament and the Centre for European Studies assume no responsibility for facts or opinions expressed in this publication or their subsequent use. Sole responsibility lies with the author of this publication. 2 Getting Georgia Right About the CES The Centre for European Studies (CES), established in 2007, is the political foundation of the European People’s Party (EPP). The CES embodies a pan-European mindset, promoting Christian Democrat, conservative and like-minded political values. It serves as a framework for national political foundations linked to member parties of the EPP. It currently has 26 member foundations in 20 EU and non-EU countries. The CES takes part in the preparation of EPP programmes and policy documents. It organises seminars and training on EU policies and on the process of European integration. The CES also contributes to formulating EU and national public policies. It produces research studies and books, electronic newsletters, policy briefs, and the twice-yearly European View journal. -
Linguistic Impoliteness Strategies in Anne Robinson's Utterances in Bbc
IR-PERPUSTAKAAN UNIVERSITAS AIRLANGGA CHAPTER I INTRODUCTION 1.1 Background of the Study Communication is part of human needs. People communicate to fulfill their needs as human beings. In communication or interaction, There are rules and norms which understood and followed by society. These rules and norms set by the society to define what is appropriate and what is not appropriate. These rules and norms indicate the proper ways of doing things, of dress, of speech, and also appearance. Just like language. In using language, there are rules and norms that set and followed by a society. People use language to interact with others, it means that in order to be able to build relationship between one person with another, language is needed as a part of the interaction. Not only that, language is also used by people to express themselves. People tend to use language as a part of expressing their emotion, for example, language that is used by people when they are happy and language that is used by people when they are sad or angry are often different. People choose their own ways to express their emotion depending on the situation. In addition, language is also used to convey meaning. People use language in different ways because they have their own intention. The concept of politeness and impoliteness can be found when discussing about language usage. The employment of of polite and impolite language is based on people’s intention in involving themselves in a communication. They can use polite language which is designed to keep or save the adressee’s face. -
ORGANIC AGRICULTURE in AZERBAIJAN Current Status and Potentials for Future Development
ORGANIC AGRICULTURE ISBN 978-92-5-130100-5 IN AZERBAIJAN 978 9251 301005 Current status and potentials XXXX/1/12.17 for future development ORGANIC AGRICULTURE IN AZERBAIJAN Current status and potentials for future development Uygun AKSOY, İsmet BOZ, Hezi EYNALOV, Yagub GULIYEV Food and Agriculture Organization United Nations Аnkara, 2017 The designations employed and the presentation of material in this information product do not imply the expression of any opinion whatsoever on the part of the Food and Agriculture Organization of the United Nations (FAO) concerning the legal or development status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries. The mention of specific companies or products of manufacturers, whether or not these have been patented, does not imply that these have been endorsed or recommended by FAO in preference to others of a similar nature that are not mentioned. The views expressed in this information product are those of the author(s) and do not necessarily reflect the views or policies of FAO. ISBN 978-92-5-13100-5 © FAO, 2017 FAO encourages the use, reproduction and dissemination of material in this infor- mation product. Except where otherwise indicated, material may be copied, down- loaded and printed for private study, research and teaching purposes, or for use in non-commercial products or services, provided that appropriate acknowledgement of FAO as the source and copyright holder is given and that FAO’s endorsement of users’ views, products or services is not implied in any way. All requests for translation and adaptation rights, and for resale and other commercial use rights should be made via www.fao.org/contact-us/licence-request or addressed to [email protected]. -
The Weakest Link: the Dire Consequences of a Weak Link in the Informant Handling and Covert Operations Chain-Of-Command
The Weakest Link: The Dire Consequences of a Weak Link in the Informant Handling and Covert Operations Chain-of-Command Michael Levine, Police Training and Trial Consultant “Trust but verify.” –Russian proverb and motto of the KGB Law enforcement agencies call them CIs (Cooperating Individuals, Confidential Informants, and/or Criminal Informants). Cops who use them call them stoolpigeons, stools, rats, chotas, etc. Intelligence agencies (Central Intelligence Agency [CIA], Defense Intelligence Agency [DIA], etc.) call them “assets” or the more confusing “agents.” Whatever they are called, 99.9999% of them have one thing in common: they are traitorous information whores who betray friendships, relatives, business and/or criminal associates, nations, and even terrorist organizations. They are criminals and conmen who use their insider positions of trust to steal and barter information that can and often does destroy those who most trust them. A good police instructor with real first-hand experience will always tell you “Never trust an informant.” A prosecutor who wants to win his case at all costs will always tell a jury “Trust this informant.” If you’re assigned to a narcotics and/or an anti-terror unit, both of which overlap mightily these days, and you believe the prosecutor, do yourself a favor and grab a transfer to the Traffic Division. You’re a danger to yourself and to your community. I’m not going to talk about the alleged 1% of informants who risk their lives in this very dirty and dangerous game and who training manuals refer to as “good citizens” or people motivated to inform on other people as a result of “ideological motivation” mainly because in my now 44 years of training and experience encompassing the close association with more than 10,000 CIs,2 I’ve yet to meet one I would trust enough to give my home phone, except when I was stationed overseas and had no choice.