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Nash – Disequilibrium, Random Decisions and Imbalance of Society: Is it Relevant to Ukraine?

100%

Hurnyak I. , Struk O. , Hrytsyshyn A.

nr 1

5-30

Ukrainian society is undergoing rapid transformational changes. The authors attempted to identify the main behavioral strategies before the war as well as possible changes in the following years. Attempting to recognize the most prevalent behavior in society, the interaction and attitude of students during the exam were taken into consideration. The student group includes representatives of various regions in proportionate numbers. The research is based on the simulation of the interaction of different groups in society by means of game theory and programming. The study proposes using Schumpeter market disturbances and ‘Nash disequilibrium’ to invigorate the current ineffective system. It has been shown that pre-war Ukrainian society exhibited a very high level of collusion. The interim conclusions were tested using Axelrod’s tournament algorithms and strategies. A simulation of the cooperative equilibrium in Ukrainian society during the pre-war period was demonstrated. The study also contains important predictions about the changes in the institutional environment in the aftermath of the war in Ukraine.

Analysis of Institutions Interaction in Ukrainian Economy by Using Game Theory Models

72%

Hurnyak I. , Kordonska A.

2019

tom 1

139-151

This article is an attempt to analyse the functioning of the institutional environment through the prism of institutional interaction and cooperation between actors in the shadow and official economy. The authors suggest somewhat unusual mechanisms for understanding the most problematic current issues of interinstitutional cooperation in Ukraine. The investigation is based on current game theory, in particular an approach to interactions in the context of such models as “loyal business – opposition business”, “IMF – Ukraine”, “Ukrainian society – oligarchic groups”, which allow the sources, causes and consequences of the defacto functioning command system to be demonstrated. The research, which combined approaches to the innovative economy, the institutional economy and the theory of games is a good basis for explaining why a positive outcome, known as institutional cooperation, has not been achieved in the interaction between oligarchic groups and Ukrainian society as a result of a repetitive “game” for two decades. It is proposed to use Nash disequilibrium to disturb an ineffective economical system for receiving the effect similar to Josef Schumpeter’s creative destruction approach in entrepreneur role identification. In this way a synergy between game theory and innovation economics was implemented.