Game theory

Prisoner's dilemma and failed cooperation

The prisoner's dilemma is a classic game theory model where individually rational choices can lead to a worse outcome for everyone.

Start a decisionSee the mechanism

Nicolas mechanism signals

These concepts follow the mathematical contract used by the app.

Convex cost

cost = c * sum a_ij^2

Voice budget

sum a_ij^2 <= B

Outcome rule

shifted softmax over support

What the dilemma shows

Each player may have an incentive to defect, even though mutual cooperation would help both.

The lesson is that rules and expectations around a decision can make cooperation fragile, not that people are bad.

Why it matters for groups

Teams, communities, and governance groups often need people to support shared outcomes despite uncertainty about what others will do.

If the process cannot reveal commitment, trust, or intensity, cooperative options may lose to safer individual choices.

How Nicolas relates

Nicolas does not model strategic games directly, but it can help groups compare cooperative proposals and see which ones have strong support or opposition.

That signal can be useful before the group designs commitments, rules, or implementation plans.

Use cases

Where this decision model helps

Cooperation signals

Identify proposals where people are willing to spend voice credits on shared benefit.

Governance design

Use explicit preference signals before designing rules that support cooperation.

Team tradeoffs

Compare options where individual incentives and team outcomes are not aligned.

FAQ

What is the prisoner's dilemma?

It is a game theory model where each player has an individual incentive to defect, even though mutual cooperation would improve the collective outcome.

Is Nicolas a game theory simulator?

No. Nicolas helps groups record preference intensity around alternatives rather than simulate strategic equilibria.

Why include this in a voting product?

The prisoner's dilemma explains why cooperation can fail, which matters for governance decisions that depend on shared commitment.

Keep reading

Continue with adjacent concepts and practical Nicolas workflows.

Nash equilibriumLearn the stability concept behind many game theory models.Volunteer's dilemmaLearn a related dilemma where everyone benefits if someone acts.