Chances are you've played Rock, Paper, Scissors, but how do you calculate your strategy, if you have one at all? In Rock, Paper, Scissors: Game Theory in Everyday Life, physicist Len Fisher points out that putting yourself in your opponent's mindset is a key to success in the game.
I recently read about the traffic engineering concept of removing traffic signs and designating specific roads as "shared space" in an effort to make them safer. http://en.wikipedia.org/wiki/Shared_space Would this be considered a game theory situation? The idea is that the drivers will not feel comfortable without a designated lane and a green light, and will drive more cautiously. However, the issue of trust seems like a big one. Are drivers going to "cheat," barrelling down the street making everyone stop for them? Or will they cooperate, make eye contact and give way to others? Some arguments for the theory point out that the "shared space" concept removes liability from the municipality and puts greater responsibility on the drivers. The Cities don't have to think about all the signs, rules, etc. that may be necessary for a safe street. Since there are none, if there's a wreck, no one can blame the City saying "there should have been a stop sign there!" This intersection looks like it works just fine!: http://www.youtube.com/watch?v=RjrEQaG5jPM
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