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owencb comments on Lying in negotiations: a maximally bad problem - Less Wrong Discussion
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Thanks, nice write-up.
Solution 1 seems to see quite a lot of use in the world (often but not always in conjunction with 4): one player will set a price without reference to the other player's utility function, setting up an ultimatum.
But setting a price is an iterative process, depending on how much of the good is purchased...