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[Music] [Laughter] counter signaling or counter signaling is a behavior where agents with the highest level of a given property invest less in to proving it than individuals with a median level of the same property this concept is primarily useful for analyzing human behavior and as relevant to economics sociology and psychology there is no known animal behavior which conforms to the predictions of the counter signaling model many of the things such as toughness cooperativeness or fertility that people and animals want to know about each other are not directly observable instead observable indicators of these and observable properties must be used to communicate them to others these are signals signaling theory deals with predicting the level of effort that individuals the signalers should invest to communicate the properties to other individuals the receivers and how these receivers interpret the signals to conditions have to be fulfilled before signaling theories should be applied first there has to be informational asymmetry between the signal ER and receiver I know more about my own level of toughness than you do second the potential for divergence or conflict of interest between the signal er and receiver without either of these two conditions there is no need for signals as the problem is merely one of communication once these conditions are fulfilled signals have to be used by individuals to prove to the other person their underlying hidden property much research is concerned with understanding what signal signals should send to convince the receiver that they have a certain property and what signals the receiver should be convinced by one way of doing this is by putting money on the table just to prove that you can someone without the property would not be able to do the same for example in biology peacocks expend energy on elaborate plumage that increase their risk of dying by doing this they demonstrate their genetic fitness as genetically less fit males can only grow small plumage while genetically better individuals can grow larger ones in biology this is known as handicap signaling counter signaling by contrast is showing off by not showing off or by playing humble for instance the nouveau-riche are known to flash their cash expensive champagne and brand-new sports cars while those with old money are more understated and they drive an old 1989 volvo there are a number of different models that deal with this behavior and explain how rational individuals those interested only in maximizing certain utility would find counter signaling beneficial one of these is biphale pelvic harbin - they developed a formal model in which receivers of signals judge the senders of signals based not only on what can be inferred from the signal sent but also on an additional information which is assumed to be helpful but not perfect for example senders might be a vow made ium or high-quality and the additional information might be adequate for distinguishing low from high but not necessarily from distinguishing medium from low or high under certain circumstances medium quality senders will have an incentive to signal to ensure that they can be distinguished from low quality ones but high quality senders may not they are not likely to be mistaken for low quality senders in any case and signaling behavior may mark them as medium [Music]