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How Altruism Can Prevail in an Evolutionary Environment

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Author Info
Theodore C. Bergstrom (University of Michigan, Dept of Economics)
Oded Stark

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Abstract

Why are economists convinced that {\it homo economicus}\/ is selfish? No doubt we find considerable support for this hypothesis in the behavior of our colleagues. Beyond this, a plausible evolutionary argument for selfishness would assert that if natural selection favors those who receive high payoffs, and if altruists get lower payoffs than selfish individuals, then evolution will tend to eliminate altruists. In this paper, we will show that, paradoxically, evolution can sustain cooperative behavior between relatives or neighbors even in single-shot prisoner's dilemma models, where cooperation benefits one's opponent at a cost to oneself.

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Paper provided by EconWPA in its series Microeconomics with number 9401001.

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Date of creation: 18 Jan 1994
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Handle: RePEc:wpa:wuwpmi:9401001

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Find related papers by JEL classification:
D1 - Microeconomics - - Household Behavior
D2 - Microeconomics - - Production and Organizations
D3 - Microeconomics - - Distribution
D4 - Microeconomics - - Market Structure and Pricing

References listed on IDEAS
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  1. Milgrom, Paul & Roberts, John, 1990. "Rationalizability, Learning, and Equilibrium in Games with Strategic Complementarities," Econometrica, Econometric Society, vol. 58(6), pages 1255-77, November. [Downloadable!] (restricted)
  2. Bergstrom, Theodore C, 1995. "On the Evolution of Altruistic Ethical Rules for Siblings," American Economic Review, American Economic Association, vol. 85(1), pages 58-81, March. [Downloadable!] (restricted)
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  3. Bergstrom, Theodore C, 1999. " Systems of Benevolent Utility Functions," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 1(1), pages 71-100. [Downloadable!] (restricted)
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  4. Binmore, K. & Samuelson, L., 1990. "Evolutionary Stability In Repeated Games Played By Finite Automata," Working papers 90-29, Wisconsin Madison - Social Systems.
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  5. Kandori, Michihiro & Mailath, George J & Rob, Rafael, 1993. "Learning, Mutation, and Long Run Equilibria in Games," Econometrica, Econometric Society, vol. 61(1), pages 29-56, January. [Downloadable!] (restricted)
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  6. Stark, Oded, 1989. "Altruism and the Quality of Life," American Economic Review, American Economic Association, vol. 79(2), pages 86-90, May. [Downloadable!] (restricted)
  7. Ted Bergstrom & Oded Stark, 1993. "How Altruism Can Prevail in an Evolutionary Environment," University of California at Santa Barbara, Economics Working Paper Series 1993B, Department of Economics, UC Santa Barbara. [Downloadable!]
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  8. Friedman, Daniel, 1991. "Evolutionary Games in Economics," Econometrica, Econometric Society, vol. 59(3), pages 637-66, May. [Downloadable!] (restricted)
  9. Vives, Xavier, 1990. "Nash equilibrium with strategic complementarities," Journal of Mathematical Economics, Elsevier, vol. 19(3), pages 305-321. [Downloadable!] (restricted)
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  10. Jack Hirshleifer, 1978. "Natural Economy Versus Political Economy," UCLA Economics Working Papers 114, UCLA Department of Economics. [Downloadable!]
  11. Jack Hirshleifer, 1977. "Economics from a Biological Viewpoint," UCLA Economics Working Papers 087, UCLA Department of Economics. [Downloadable!]
  12. Ted Bergstrom, 1989. "Love and Spaghetti, The Opportunity Cost of Virtue," University of California at Santa Barbara, Economics Working Paper Series 1989B, Department of Economics, UC Santa Barbara. [Downloadable!]
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  13. Binmore, Kenneth G. & Samuelson, Larry, 1992. "Evolutionary stability in repeated games played by finite automata," Journal of Economic Theory, Elsevier, vol. 57(2), pages 278-305, August. [Downloadable!] (restricted)
  14. Bernheim, B Douglas & Stark, Oded, 1988. "Altruism within the Family Reconsidered: Do Nice Guys Finish Last?," American Economic Review, American Economic Association, vol. 78(5), pages 1034-45, December. [Downloadable!] (restricted)
  15. Hirshleifer, Jack, 1977. "Economics from a Biological Viewpoint," Journal of Law & Economics, University of Chicago Press, vol. 20(1), pages 1-52, April.
  16. Jack Hirshleifer, 1978. "Natural Economy Versus Political Economy," UCLA Economics Working Papers 129, UCLA Department of Economics. [Downloadable!]
  17. Donald Cox & Oded Stark, 1996. "Intergenerational Transfers and the Demonstration Effect," Boston College Working Papers in Economics 329., Boston College Department of Economics. [Downloadable!]
  18. Young, H Peyton, 1993. "The Evolution of Conventions," Econometrica, Econometric Society, vol. 61(1), pages 57-84, January. [Downloadable!] (restricted)
  19. Robson, Arthur J, 1992. "Status, the Distribution of Wealth, Private and Social Attitudes to Risk," Econometrica, Econometric Society, vol. 60(4), pages 837-57, July. [Downloadable!] (restricted)
  20. Hansson, Ingemar & Stuart, Charles, 1990. "Malthusian Selection of Preferences," American Economic Review, American Economic Association, vol. 80(3), pages 529-44, June. [Downloadable!] (restricted)
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