Thursday, 1 November 2018

Starting with information


People like communicating with each other to exchange information, sometimes they exchange information for their own serious purposes, or they exchange information (or gossip) merely for entertainment purposes. Both kinds of purposes are completely fine. Information is almost starts of everything. Technology is developed in labs or offices, the information has to be passed from labs or offices to factories in order to produce hi-tech products. The information has to be passed from traders to brokers in order to make stock exchange happen.

Information is a very important concept in the game theory. A game's outcome can be very different between a setup with communication and a setup without communication. Although people may not tell truth, as they may strategically lie to other players in order to get more profits, people can predict others' strategies, especially when we expect all people work for the best of their interests. Moreover, when people communicate with each other, they are exchanging very complex information including people's emotion and some unexplainable expression as well, these kinds of information are difficult to be modelled, and also important when people are making their decisions. People do express their emotional feelings; therefore, it is reasonable for people to receive emotional expression as part of information they receive, though it is not sensible in the eyes of economists.

Overall, people are exchanging information all the time in all different forms. Some form of information is very complex and almost impossible to be modelled, such as emotion, but plays important roles in our decision making.

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