Understanding the prisoner's Dilemma and its public policy implications

Abstract

The “prisoner's dilemma” is, perhaps, the most intriguing social situation worked out by game theorists. It is rich with public policy implications to boot. Unsurprisingly, therefore, the dilemma has attracted much attention on the part of concerned philosophers. Be that as it may, the philosophical thrust into this highly problematical area has so far been less than successful. Somehow, in the process, philosophers have managed to distort the true meaning of the dilemma by trying to explain it away as a simple case of social conflict arising out of lack of interpersonal trust. They have equally failed to realise the potential of the dilemma as a valuable technique for social control. The article aims at setting right these errors of commission and omission; the original meaning of the dilemma is restated and its corresponding (both hidden and unhidden) public policy implications are clarified.