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Indirect reciprocity with simple records.

Daniel Clark1, Drew Fudenberg2, Alexander Wolitzky1

  • 1Department of Economics, Massachusetts Institute of Technology, Cambridge, MA 02139.

Proceedings of the National Academy of Sciences of the United States of America
|May 14, 2020
PubMed
Summary
This summary is machine-generated.

This study introduces a new model for indirect reciprocity, using simple, decentralized records to foster cooperation. It finds that coordination motives are key to supporting robust, long-term social cooperation.

Keywords:
indirect reciprocityrobust cooperationstrategic complementaritystrategic substitutability

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Area of Science:

  • Evolutionary Game Theory
  • Social Psychology
  • Behavioral Economics

Background:

  • Indirect reciprocity is crucial for human cooperation but existing models lack robustness.
  • Image-scoring and social-standing models have limitations in providing stable cooperation incentives.
  • Previous models often rely on complex or globally available information.

Purpose of the Study:

  • To propose a novel model of indirect reciprocity using simple, decentralized records.
  • To investigate the conditions under which robust social cooperation can be sustained.
  • To determine the role of social dilemma characteristics in enabling cooperation.

Main Methods:

  • Development of a new indirect reciprocity model based on individual past behavior.
  • Analysis of tolerant trigger strategies using decentralized record-keeping.
  • Examination of social dilemmas with coordination motives (strategic complementarity) versus substitutability.

Main Results:

  • The proposed model robustly supports social cooperation when social dilemmas exhibit a coordination motive.
  • Simple, decentralized records, dependent only on individual behavior, can incentivize cooperation.
  • In contrast, strategic substitutability in social dilemmas prevents robust cooperation.
  • The model demonstrates strong stability properties under coordination motives.

Conclusions:

  • Simple, decentralized record-keeping is sufficient for robust indirect reciprocity.
  • The presence of short-run coordination motives is essential for long-term social cooperation.
  • This model offers a more informationally robust and stable foundation for understanding cooperation.