The power of trust

Whether the Brexit stand-off between Theresa May and Michel Barnier, or Trump’s trade war with China – finding the most effective strategy to achieve a the best outcome for all often seems less important than entrenching in self-interest.

A look at Noughties TV game show Golden Balls reminds us of the importance of trust, and the dangers of pure tit-for-tat. Golden Balls is probably best known for the game in which two contestants, after discussion, simultaneously and secretely have to decide whether to split or “steal” the prize money. If both decide to split, the money is divided equally. If one decides to steal and the other to split, the person who chooses “steal” wins all the money. And if both decide to steal, neither receives anything.

The game was highlighted in the recent BBC4 programme “The Joy of Winning”, presented by Dr Hannah Fry. The programme features one of the most surprising episodes of Golden Balls, when contestant Nick Corrigan used an unexpected strategy in that final game. He assured his fellow contestant that he was definitely going to “steal” but promised to share the winnings after the show. The other contestant protested, but Nick insisted. In the event both Nick’s and his fellow contestant’s decisions were revealed to be “split”, to everyone’s surprise.

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Brexit – the good, the bad and the no deal

Why a cooperative negotiation strategy might be more effective than a competitive one

Theresa May would prefer no deal to a “bad deal”, Jeremy Corbyn believes no deal is a bad deal.

Under the Tories, a post-Brexit future for UK without a deal with the EU is conceivable. A Conservative government would be happy to walk away from negotiations if their demands are not (or not sufficiently) met. Under Labour, we would expect the Government to do everything in its power to reach a deal with the EU.

On the face of it, these two approaches represent two classically opposing negotiation styles, on the one hand a competitive, or “positional” strategy, on the other a cooperative, or “interest-based” one. Continue reading