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United We Stand: On the Benefits of Coordinated Punishment

Author

Listed:
  • Vicente Calabuig

    (University of Valencia)

  • Natalia Jimenez

    (Universidad Pablo de Olavide)

  • Gonzalo Olcina

    (University of Valencia)

  • Ismael Rodriguez-Lara

    (Universidad de Granada and Economic Science Institute, Chapman University)

Abstract

Coordinated punishment occurs when punishment decisions are complements; i.e., this punishment device requires a specific number of punishers to be effective; otherwise, no damage will be inflicted on the target. While societies often rely on this punishment device, its benefits are unclear compared with uncoordinated punishment, where punishment decisions are substitutes. We argue that coordinated punishment can prevent the free-riding of punishers and show, both theoretically and experimentally, that this may be beneficial for cooperation in a team investment game, compared with uncoordinated punishment.

Suggested Citation

  • Vicente Calabuig & Natalia Jimenez & Gonzalo Olcina & Ismael Rodriguez-Lara, 2022. "United We Stand: On the Benefits of Coordinated Punishment," Working Papers 22-12, Chapman University, Economic Science Institute.
    • Handle: RePEc:chu:wpaper:22-12
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    File URL: https://digitalcommons.chapman.edu/esi_working_papers/373/
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    References listed on IDEAS

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    More about this item

    Keywords

    Team investment game; coordinated punishment; uncoordinated punishment; freeriding; cooperation;
    All these keywords.

    JEL classification:

    • C9 - Mathematical and Quantitative Methods - - Design of Experiments
    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D69 - Microeconomics - - Welfare Economics - - - Other
    • J01 - Labor and Demographic Economics - - General - - - Labor Economics: General

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