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Social Cognition in the Evolutionary Chicken Game

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Abstract

This paper explores a model of bounded rationality in evolutionary game play in which agent choice is based on a social psychological process of categorization and social inference. The computer simulation of the model demonstrates that agents' increasing ability to categorize opponents in the chicken game affords a higher population average payoff and introduces increasing social stratification among them. Greater trait diversity and population size are shown to have a harmful effect on payoffs. A VERSION OF THIS PAPER IS FORTHCOMING IN COMPUTATIONAL ECONOMICS UNDER THE TITLE "THE COGNITIVE ORGINS OF SOCIAL STRATIFICATION".

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File URL: http://www.nottingham.ac.uk/%7Elizecon/RePEc/pdf/chicken.pdf
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Bibliographic Info

Paper provided by Industrial Economics Division in its series Occasional Papers with number 2.

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Length: pages
Date of creation: 10 Oct 2001
Date of revision: 10 Apr 2001
Handle: RePEc:nub:occpap:2

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Keywords: bounded rationality; social cognition; chicken game; stereotypes; categorization; adaptive expectations; social inference; discrimination; social stratification;

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  1. Holland, John H & Miller, John H, 1991. "Artificial Adaptive Agents in Economic Theory," American Economic Review, American Economic Association, vol. 81(2), pages 365-71, May.
  2. Robert Axtell, Joshua M. Epstein, & H. Peyton Young, . "The Emergence of Economic Classes in an Agent-based Bargaining Model," Computing in Economics and Finance 1997 61, Society for Computational Economics.
  3. Kandori, M. & Mailath, G.J., 1991. "Learning, Mutation, And Long Run Equilibria In Games," Papers 71, Princeton, Woodrow Wilson School - John M. Olin Program.
  4. Miller, John H., 1996. "The coevolution of automata in the repeated Prisoner's Dilemma," Journal of Economic Behavior & Organization, Elsevier, vol. 29(1), pages 87-112, January.
  5. Kirchkamp, Oliver, 2000. "Spatial evolution of automata in the prisoners' dilemma," Journal of Economic Behavior & Organization, Elsevier, vol. 43(2), pages 239-262, October.
  6. Herbert A. Simon, 1996. "The Sciences of the Artificial, 3rd Edition," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262691914, December.
  7. John Conlisk, 1996. "Why Bounded Rationality?," Journal of Economic Literature, American Economic Association, vol. 34(2), pages 669-700, June.
  8. Robert Hoffmann, 2001. "The Ecology of Cooperation," Theory and Decision, Springer, vol. 50(2), pages 101-118, March.
  9. Young, H Peyton, 1993. "The Evolution of Conventions," Econometrica, Econometric Society, vol. 61(1), pages 57-84, January.
  10. Eric J. Johnson & John W. Payne, 1985. "Effort and Accuracy in Choice," Management Science, INFORMS, vol. 31(4), pages 395-414, April.
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