Empiriceme · Evidence · Bias / Effect

Zero-Sum versus Positive-Sum Framing

Also called Fixed-pie bias

Treating a divisible-surplus situation as fixed-pie produces conflict that the underlying structure does not require.

Von Neumann and Morgenstern's framing, and the negotiation consequence is direct: parties who assume a fixed pie stop searching for trades, so the surplus that would have existed never gets found.

In practice

  • A buyer and a seller who each assume price is the only variable never find that one needs delivery in March and the other has spare capacity in February.
  • Two departments arguing over a budget line never discover that one values timing and the other values total, which is a trade both would take.
Subject
Games & Strategic Interaction
Essay
What is provable, and what people actually do

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