Chapter
Mechanism Design and Game Theory
1:35:47 - 1:43:29 (07:42)
Mechanism design is the art of designing the rules of a game or an institution so that it promotes the desired behavior, despite the self-interest of the players. In designing a game, while people attempt to maximize their self-interest, they achieve the desired social behavior.
Clips
Mechanism design is a way to design games that encourages players to maximize their self-interest while achieving a social goal.
1:35:47 - 1:39:58 (04:11)
Mechanism Design
Summary
Mechanism design is a way to design games that encourages players to maximize their self-interest while achieving a social goal. This approach can create orderly behavior and is used to analyze a restricted class of games.
ChapterMechanism Design and Game Theory
Episode#168 – Silvio Micali: Cryptocurrency, Blockchain, Algorand, Bitcoin, and Ethereum
PodcastLex Fridman Podcast
The design of incentives for mechanisms and blockchain networks is difficult due to the complexity of human behavior.
1:39:58 - 1:43:29 (03:31)
Blockchain
Summary
The design of incentives for mechanisms and blockchain networks is difficult due to the complexity of human behavior. In the case of Algorand, the network is designed with minimal incentives for scalability, security, and decentralization.