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Focus on US-Canada Relations, the media's role, and the impact on our perception of national identity.
This strategy is dependent on four conditions that has allowed it to become the most prevalent strategy for the Prisoner's Dilemma:
In the last condition, the number 2/3 is arbitrary and depends on the payoff matrix of the Prisoner's Dilemma. The important thing is that the competition continues long enough for repeated punishment and forgiveness to generate a long-term payoff higher than the possible loss from cooperating initially.
A fifth condition applies to make the competition meaningful: if an agent knows that the next play will be the last, it should naturally defect for a higher score. Similarly if it knows that the next two plays will be the last, it should defect twice, and so on. Therefore the number of competitions must not be known in advance to the agents.
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Without proceeding to go through each step and the associated consequences, I'll just say that the US has more options and bigger guns, and that much of Canada's interests are explicably linked to US institutions, whether it be in industry, or national defense. However, there is one thing here in Alberta that is by far most important to the US: the oil. A good share of it is tied to US firms, but in the end it is in our soil. But would it be rational to resort to cutting the US off of our oil exports? Not likely! It would most definitely do great harm to us, through its effect on US industry that we either benefit or depends on, and also the resulting fluctuations in the financial markets - something that nobody wants to see again after the 70s! So, instead of Tit-for-Tat, we simply play the classic game, weighing our payoffs. When the US plays nice, we do well and they do well; when they play a little dirty, they either maintain their position or do a little better andwe do a a little less well; but, if we choose to retaliate, they are worse off and we are worst off. All in all, to quote the maxim of Game Theory, we are doing the best we can given the decisions/actions of the US; likewise for the US.