Economics professors have a standard game they use to demonstrate how apparently rational decisions can create a disastrous result. They call it a “dollar auction.”

The rules are simple. The professor offers a dollar for sale to the highest bidder, with only one wrinkle: the second-highest bidder has to pay up on their losing bid as well. Several students almost always get sucked in. The first bids a penny, looking to make 99 cents. The second bids 2 cents, the third 3 cents, and so on, each feeling they have a chance at something good on the cheap. The early stages are fun, and the bidders wonder what possessed the professor to be willing to lose some money. The problem surfaces when the bidders get up close to a dollar.  After 99 cents the last vestige of profitability disappears, but the bidding continues between the two highest players. They now realize that they stand to lose no matter what, but that they can still buffer their losses by winning the dollar. They just have to outlast the other player. Following this strategy, the two hapless students usually run the bid up several dollars, turning the apparent shot at easy money into a ghastly battle of spiraling disaster. Theoretically, there is no stable outcome once the dynamic gets going. The only clear limit is the exhaustion of one of the player’s total funds.In the classroom, the auction generally ends with the grudging decision of one player to “irrationally” accept the larger loss and get out of the terrible spiral. Economists call the dollar auction pattern an irrational escalation of commitment.

You might think I’m bringing this up as a counter to all those people who are emerging, convinced that they have to double down on the Eagles (if they beat Baltimore, they have to be favored on Thanksgiving, then they’ve owned December in the past and …).

I’m not.

I just don’t want to write about little Dustin Pedroia taking home his last MVP award and fell asleep without watching either UNC romp over Kentucky or any of the NBA games, and I needed a lede.

Jim Davis | Boston Globe

“Prof. Roberts — If you see this, I swear I’m still sick” - sign at yesterday morning’s Penn/Drexel showdown

Three lines on their world:

1. Dustin Pedroia is the 2008 AL MVP
   
   
2. UNC had no problem taking down Kentucky
   
   
3. and the Cubs locked up Ryan Dempster for the next four years
   
   

Three lines on ours:

1. Drexel took down Penn in a rare morning game
   
   
2. The Phillies made some changes to their scouting staff
   
   
3. and the Sixers head to Minnesota to take on the Wolves
   
   

Phillies, Birds, Sixers, Flyers and what everybody is talking about, after the jump

EAGLES

Sam Donnellon thinks that saying the Birds are the city’s team most in disarray is controversial. SKIP

*if you can only skip one: Bob Ford gives Donovan “a football IQ test.” SKIP

Bob Brookover talks with Ravens’ coach John Harbaugh, who praises Andy Reid and sounds excited to face his old team. SKIP

Paul Domowitch looks at the ‘Fire Reid‘ fever through the eyes of John Harbaugh. READ

Marc Narducci talks with Ravens’ QB/local-ish product Joe Flacco, who grew up rooting for the Birds and now gets to face them. READ

*if you can only read one: Marcus Hayes explains just how much Broderick Bunkley cares. READ

Bob Brookover reports that Birds’ offensive assistant Mark Whipple is under consideration for Syracuse’s vacant head coaching position. SKIP

John Gonzalez compares Donovan McNabb to the Shermanator.  Remember when McNabb used to be compared to a young Steve Young? Yeah, those days are over. He then talks about having THIS brought to his attention (a mere day after I posted THIS, what a coincidence!), and gets a good line in about the Roots becoming Jimmy Fallon’s house band. READ

Reuben Frank uncovers this gem:

Andy Reid said he called 60 pass plays Sunday against the Bengals because, “One of their weaknesses, we felt, was against the pass.”

Then Donovan McNabb proceeded to go out and become the first quarterback in NFL history to throw 58 passes, complete less than half of them and also throw three or more interceptions.

yikes. READ

SIXERS

Dick Jerardi says the Sixers’ defense has keyed their turnaround. SKIP

Kate Fagan points out that the string of mediocre teams the Sixers are about to face is the perfect time for them to get over .500, and for some of their struggling players to get back on track. SKIP

Tom Moore points out that Willie Green has been taking Lou Williams‘ minutes. READ

Dan Dunkin points out that regardless of what Coach Cheeks says, the Sixers are becoming Thad Young’s team. READ

PHILLIES

The DN reports that the Phillies have signed a former Northeast High star as a scout. SKIP

As does the Inqy. SKIP

FLYERS

Sam Carchidi reports on 18-year old Luca Sbisa’s smooth adjustment to the NHL. READ

Carchidi’s notes look at how Danny Briere (groin), Ossi Vaananen (finger), and Riley Cote (mild muscle tear), are recovering from their injuries, and more. SKIP

Ed Moran looks at the Flyers’ practice schedule. READ

Wayne Fish explains the shockingly effective shorthanded Flyers. READ

TODAY and MORE

Villanova hosts former Wildcat Bilal Benn and Niagara tonight, as college basketball continues to get into full swing and the Sixers head to Minnesota, so it’ll be a day filled with local basketball teams pounding on cupcakes. Always fun.

As for us, we’ll return serve but unless we can muster the strength to complain about the Eagles some more expect a fairly slow day. That, of course, means that it’s a good day to fill our inbox with any tips, questions, suggestions, comments or complaints.  

This entry was posted on Wednesday, November 19th, 2008 at 8:55 am and is filed under Morning Rounds. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.