Imitation of Cooperation in Prisoner's Dilemma Games with Some Local Interaction
AbstractIn this paper I study conditions for the emergence of cooperativebehavior in a dynamic model of population interaction.The model has finitely many individuals located on a circle. The pay-off of each individual is partly based on the (local)interaction with neighbors and partly on (uniform) interaction withthe whole population. The dynamics is driven byimitative behavior. I show that for a large class of parameterscooperation will emerge if the population is large; if thepopulation is small, defection will prevail in the long run. Theresult contrasts with conventional wisdom which says that thelarger the population, the less likely cooperation will be.
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Bibliographic InfoPaper provided by Tinbergen Institute in its series Tinbergen Institute Discussion Papers with number 00-019/1.
Date of creation: 22 Mar 2000
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Cooperation; Prisoner's Dilemma; Evolutionary Game Theory; Local Interaction;
Find related papers by JEL classification:
- C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
- D62 - Microeconomics - - Welfare Economics - - - Externalities
This paper has been announced in the following NEP Reports:
- NEP-ALL-2000-06-29 (All new papers)
- NEP-CDM-2000-06-29 (Collective Decision-Making)
- NEP-EVO-2000-06-29 (Evolutionary Economics)
- NEP-GTH-2000-08-15 (Game Theory)
- NEP-IND-2000-06-29 (Industrial Organization)
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