Alexander Kritikos (Fakultät für Wirtschaftswissenschaften, Europa-Universität Viadrina Frankfurt (Oder), Frankfurt/Oder, Germany) Georg Meran (Fachbereich Wirtschaft und Management, Technische Universität Berlin, Berlin, Germany)
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Normative Game theory does not consider cooperation in a Prisoners' Dilemma (PD) as a serious strategy. Recent research has, therefore, introduced nonmonetary values to explain why individuals may choose to cooperate in PD-Games. It is not explained, however, where the values come from. Under the assumption of endogenous preferences we show that educating individuals towards a moral commitment can change preferences in a way that a deliberate willingness for cooperation is created. For that we provide a utility function where the compliance to social norms generates utility. Accordingly, we regard the decisions of morally committed individuals as rational.
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Article provided by Institute of SocioEconomics in its journal Homo Oeconomicus.
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