IDEAS home Printed from https://ideas.repec.org/p/gre/wpaper/2015-38.html
   My bibliography  Save this paper

The Ontology of Schelling's "Theory of Interdependent Decisions"

Author

Listed:
  • Lauren Larrouy

    (University of Nice Sophia Antipolis, France
    GREDEG CNRS)

Abstract

The present paper offers a methodological contribution on Schelling's insight into game theory drawing both on his proposition for a "reorientation of game theory" and his dynamic models of residential segregation. It aims to show how these respective works exhibit coherence in Schelling's thinking. It is often claimed that Schelling criticizes standard game theory without proposing any conceptual solution. To the contrary, I assert that the methodological constraints Schelling identifies in standard game theory support the proposition of a new type of modeling in the dynamic models of residential segregation: the first agent based modeling. I argue that the agent-based models provide a theoretic ground to formalize the methodological innovations proposed in his “reorientation of game theory.” To understand such a claim I stress the social ontology underlined in Schelling's conception of a "theory of interdependent decisions."

Suggested Citation

  • Lauren Larrouy, 2015. "The Ontology of Schelling's "Theory of Interdependent Decisions"," GREDEG Working Papers 2015-38, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    • Handle: RePEc:gre:wpaper:2015-38
    as

    Download full text from publisher

    File URL: http://195.220.198.217/GREDEG-WP-2015-38.pdf
    File Function: First version, 2015
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Bacharach, Michael, 1999. "Interactive team reasoning: A contribution to the theory of co-operation," Research in Economics, Elsevier, vol. 53(2), pages 117-147, June.
    2. Nicola Giocoli, 2003. "Modeling Rational Agents," Books, Edward Elgar Publishing, number 2585.
    3. Sugden, Robert, 1991. "Rational Choice: A Survey of Contributions from Economics and Philosophy," Economic Journal, Royal Economic Society, vol. 101(407), pages 751-785, July.
    4. Joshua M. Epstein & Robert L. Axtell, 1996. "Growing Artificial Societies: Social Science from the Bottom Up," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262550253, December.
    5. N. Emrah Aydinonat, 2007. "Models, conjectures and exploration: an analysis of Schelling's checkerboard model of residential segregation," Journal of Economic Methodology, Taylor & Francis Journals, vol. 14(4), pages 429-454.
    6. N. Emrah Aydinonat, 2005. "An interview with Thomas C. Schelling: Interpretation of game theory and the checkerboard model," Economics Bulletin, AccessEcon, vol. 2(2), pages 1-7.
    7. Alessandro Innocenti, 2007. "Player heterogeneity and empiricism in Schelling," Journal of Economic Methodology, Taylor & Francis Journals, vol. 14(4), pages 409-428.
    8. Schelling, Thomas C, 1969. "Models of Segregation," American Economic Review, American Economic Association, vol. 59(2), pages 488-493, May.
    9. Searle, John R., 2005. "What is an institution?," Journal of Institutional Economics, Cambridge University Press, vol. 1(1), pages 1-22, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Lauren Larrouy & Guilhem Lecouteux, 2018. "Choosing in a Large World: The Role of Focal Points as a Mindshaping Device," Working Papers halshs-01923244, HAL.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lauren Larrouy & Guilhem Lecouteux, 2018. "Choosing in a Large World: The Role of Focal Points as a Mindshaping Device," Working Papers halshs-01923244, HAL.
    2. Lauren Larrouy, 2015. "Revisiting Methodological Individualism in Game Theory: The Contributions of Schelling and Bacharach," GREDEG Working Papers 2015-14, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    3. Luis R. Izquierdo & Segismundo S. Izquierdo & José Manuel Galán & José Ignacio Santos, 2009. "Techniques to Understand Computer Simulations: Markov Chain Analysis," Journal of Artificial Societies and Social Simulation, Journal of Artificial Societies and Social Simulation, vol. 12(1), pages 1-6.
    4. Petri Ylikoski & N. Emrah Aydinonat, 2014. "Understanding with theoretical models," Journal of Economic Methodology, Taylor & Francis Journals, vol. 21(1), pages 19-36, March.
    5. Cléo Chassonnery-Zaïgouche & Lauren Larrouy, 2014. "Reshaping Standard Microeconomics for Political Action: Kenneth J. Arrow and Thomas C. Schelling’s Rand Corporation Projects on Racial Issues," GREDEG Working Papers 2014-18, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    6. Joshua M. Epstein, 2007. "Agent-Based Computational Models and Generative Social Science," Introductory Chapters, in: Generative Social Science Studies in Agent-Based Computational Modeling, Princeton University Press.
    7. Guilhem Lecouteux, 2018. "What does “we” want? Team Reasoning, Game Theory, and Unselfish Behaviours," Revue d'économie politique, Dalloz, vol. 128(3), pages 311-332.
    8. Giorgio Fagiolo & Mattia Guerini & Francesco Lamperti & Alessio Moneta & Andrea Roventini, 2017. "Validation of Agent-Based Models in Economics and Finance," LEM Papers Series 2017/23, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    9. Elsner, Wolfram & Heinrich, Torsten, 2009. "A simple theory of 'meso'. On the co-evolution of institutions and platform size--With an application to varieties of capitalism and 'medium-sized' countries," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 38(5), pages 843-858, October.
    10. Furtado, Bernardo Alves & Eberhardt, Isaque Daniel Rocha, 2015. "Modelo espacial simples da economia: uma proposta teórico-metodológica [A simple spatial economic model: a proposal]," MPRA Paper 67005, University Library of Munich, Germany.
    11. Cléo Chassonnery-Zaïgouche & Lauren Larrouy, 2017. "“From warfare to welfare”: Contextualising Arrow and Schelling's models of racial inequalities (1968–1972)," The European Journal of the History of Economic Thought, Taylor & Francis Journals, vol. 24(6), pages 1355-1387, November.
    12. N. Emrah Aydinonat, 2005. "An interview with Thomas C. Schelling: Interpretation of game theory and the checkerboard model," Economics Bulletin, AccessEcon, vol. 2(2), pages 1-7.
    13. Bithell, M. & Macmillan, W.D., 2007. "Escape from the cell: Spatially explicit modelling with and without grids," Ecological Modelling, Elsevier, vol. 200(1), pages 59-78.
    14. Zakaria Babutsidze, 2012. "Consumer Learning through Interaction: Effects on Aggregate Outcomes," Chapters, in: Guido Buenstorf (ed.), Evolution, Organization and Economic Behavior, chapter 4, Edward Elgar Publishing.
    15. Federica Nalli, 2021. "Robert Sugden’s theory of team reasoning: a critical reconstruction," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 68(1), pages 21-40, March.
    16. Florence Goffette-Nagot & Pablo Jensen & Sebastian Grauwin, 2009. "Dynamic models of residential segregation: Brief review, analytical resolution and study of the introduction of coordination," Post-Print halshs-00404400, HAL.
    17. Bernardo A. Furtado & Miguel A. Fuentes & Claudio J. Tessone, 2019. "Policy Modeling and Applications: State-of-the-Art and Perspectives," Complexity, Hindawi, vol. 2019, pages 1-11, February.
    18. Khamdamov, T., 2022. "A brief overview of the evolution of computer simulations in economic research," Journal of the New Economic Association, New Economic Association, vol. 54(2), pages 189-207.
    19. Claudio Cioffi-Revilla, 2010. "A Methodology for Complex Social Simulations," Journal of Artificial Societies and Social Simulation, Journal of Artificial Societies and Social Simulation, vol. 13(1), pages 1-7.
    20. Alexander J. Laurie & Narendra K. Jaggi, 2003. "Role of 'Vision' in Neighbourhood Racial Segregation: A Variant of the Schelling Segregation Model," Urban Studies, Urban Studies Journal Limited, vol. 40(13), pages 2687-2704, December.

    More about this item

    Keywords

    Schelling; ontology; game theory; residential segregation; agent-based models;
    All these keywords.

    JEL classification:

    • B41 - Schools of Economic Thought and Methodology - - Economic Methodology - - - Economic Methodology
    • B52 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Historical; Institutional; Evolutionary; Modern Monetary Theory;
    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gre:wpaper:2015-38. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Patrice Bougette (email available below). General contact details of provider: https://edirc.repec.org/data/credcfr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.