----------------- HES POSTING ----------------- Consider the matter from the point of view of someone prescribing policy. The model is a proposal of how the economics of the matter in question work. Unless one assumes certainty about how the economics works, policy and action is impossible. One proceeds [dare I say it?] as if there is certitude. Action, necessarily ASSUMES that things are a certain way, or action becomes impossible. Of course the actor is well aware that everything is only probable, but at the moment of action the assumption is that things are definitely a certain way. That includes the assumption that other actors in the system behave in a certain way, and, unless specified otherwise, have full knowledge of the relevant environment of their acts. The assumption of perfect knowledge is a derivative of the policy application of Economics Robin Neill ------------ FOOTER TO HES POSTING ------------ For information, send the message "info HES" to [log in to unmask]