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The is a difference between the trade being zero sum, and the negotiation being zero sum. In the apple example, the trade is not zero sum, but the negotiation is. If I negotiate to spend less money for the same amount of apples, then the seller has lost as much as I gained. The caveat being that even in this simplified apple example there are multiple dimensions to negotiate on. I could buy more apples at a lower cost per apple, which may very well be benefit both parties.


> If I negotiate to spend less money for the same amount of apples, then the seller has lost as much as I gained.

That assumes that apples have an intrinsic value above and beyond the value placed upon them by the two trading parties.

Marginal utility and all that...


No it doesn’t. All it assumes is that both parties prefer having more money to having less money.




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