ABSTRACT
This chapter focuses on historical time defined by events, information, and decisions, i.e., "changes of states." Time measured with reference to the clock, the seasons, or by calendar dates is secondary. It utilizes Sergio Leone's truel as a model case to exemplify the issue. The chapter demonstrates that this offers a large potential for manipulation and second-mover advantages. Second-mover advantages are often related to the information we gain by watching others. The chapter explains the case of natural monopolies marginal cost prices imply losses and efficiency requires a violation of "prices equal to marginal costs." It discusses a case of mutually strategic thinking and the resulting barrier to entry – making second-mover advantages void. There is a natural second-mover advantage of the one who does the cutting in the bounty business as designed by Tuco and Blondie. The toy model of public choice theory, i.e., the median voter model, shows neither a first-mover nor a second-mover advantage.
