Related to: Can Counterfactuals Be True?, Newcomb's Problem and Regret of Rationality.
Imagine that one day, Omega comes to you and says that it has just tossed a fair coin, and given that the coin came up tails, it decided to ask you to give it $100. Whatever you do in this situation, nothing else will happen differently in reality as a result. Naturally you don't want to give up your $100. But see, Omega tells you that if the coin came up heads instead of tails, it'd give you $10000, but only if you'd agree to give it $100 if the coin came up tails.
Omega can predict your decision in case it asked you to give it $100, even if that hasn't actually happened, it can compute the counterfactual truth. Omega is also known to be absolutely honest and trustworthy, no word-twisting, so the facts are really as it says, it really tossed a coin and really would've given you $10000.
From your current position, it seems absurd to give up your $100. Nothing good happens if you do that, the coin has already landed tails up, you'll never see the counterfactual $10000. But look at this situation from your point of view before Omega tossed the coin. There, you have two possible branches ahead of you, of equal probability. On one branch, you are asked to part with $100, and on the other branch, you are conditionally given $10000. If you decide to keep $100, the expected gain from this decision is $0: there is no exchange of money, you don't give Omega anything on the first branch, and as a result Omega doesn't give you anything on the second branch. If you decide to give $100 on the first branch, then Omega gives you $10000 on the second branch, so the expected gain from this decision is
-$100 * 0.5 + $10000 * 0.5 = $4950
So, this straightforward calculation tells that you ought to give up your $100. It looks like a good idea before the coin toss, but it starts to look like a bad idea after the coin came up tails. Had you known about the deal in advance, one possible course of action would be to set up a precommitment. You contract a third party, agreeing that you'll lose $1000 if you don't give $100 to Omega, in case it asks for that. In this case, you leave yourself no other choice.
But in this game, explicit precommitment is not an option: you didn't know about Omega's little game until the coin was already tossed and the outcome of the toss was given to you. The only thing that stands between Omega and your 100$ is your ritual of cognition. And so I ask you all: is the decision to give up $100 when you have no real benefit from it, only counterfactual benefit, an example of winning?
P.S. Let's assume that the coin is deterministic, that in the overwhelming measure of the MWI worlds it gives the same outcome. You don't care about a fraction that sees a different result, in all reality the result is that Omega won't even consider giving you $10000, it only asks for your $100. Also, the deal is unique, you won't see Omega ever again.
I convinced myself to one-box in Newcomb by simply treating it as if the contents of the boxes magically change when I made my decision. Simply draw the decision tree and maximize u-value.
I convinced myself to cooperate in the Prisoner's Dilemma by treating it as if whatever decision I made the other person would magically make too. Simply draw the decision tree and maximize u-value.
It seems that Omega is different because I actually have the information, where in the others I don't.
For example, In Newcomb, if we could see the contents of both boxes, then I should two-box, no? In the Prisoner's Dilemma, if my opponent decides before me and I observe the decision, then I should defect, no?
I suspect that this means that my thought process in Newcomb and the Prisoner's Dilemma is incorrect. That there is a better way to think about them that makes them more like Omega. Am I correct? Does this make sense?
Yes, the objective in designing this puzzle was to construct an example where according to my understanding of the correct way to make decision, the correct decision looks like losing. In other cases you may say that you close your eyes, pretend that your decision determines the past or other agents' actions, and just make the decision that gives the best outcome. In this case, you choose the worst outcome. The argument is that on reflection it still looks like the best outcome, and you are given an opportunity to think about what's the correct perspective... (read more)