Last updated on July 5, 2017
Introduction
By definition, a dilemma is a trade-off situation in which there are two choices, each leading to a negative outcome.
General solution
A general solution, then, is to weigh the outcomes and compare them against one another.
For example:
choice A: -1
choice B: -2
In this example, choice A has smaller negative effect, so we’d pick that one.
Complications
However, there are complications.
Consider the above would in fact be the short-term outcomes, but there are also long-term outcomes. For example
choice A: -1, -3
choice B: -2, -1
This leads us into payoff functions, so that the outcomes (payoffs) consist of many variables. In the example, the long-term negative effects outweigh the short-term effects, and we would change our choice to B.
However, the choice can also be arbitrary, meaning that neither choice dominates. In game theory terms, there is no dominant strategy.
This would be the case when
choice A: -1, -2
choice B: -2, -1
As you can see, it doesn’t matter which choice we take since each gives a negative outcome of equal size. There is an exception to this rule, namely when the player has a preference between short- and long-term outcomes. For example, if he wants to minimize long-term damage, he would pick B, and vice versa.
How to apply this in real life?
In decision-making situations, it’s common to make lists of + and -, i.e. listing positive and negative sides. by assigning a numerical value to them, you can calculate the sum and assign preference among choices. in other words, it becomes easier to make tough decisions.
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