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Sticks and carrots: Two incentive mechanisms supporting intra-group cooperation

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  • Janus, Thorsten
  • Lim, Jamus Jerome

Abstract

In this note, we introduce two distinct incentive mechanisms that support dynamic intra-group cooperation in the context of prisoner's dilemma payoffs: rewards for cooperating, and punishments for defection, where the rewarding or punishing party may be outside the relationship.

Suggested Citation

  • Janus, Thorsten & Lim, Jamus Jerome, 2009. "Sticks and carrots: Two incentive mechanisms supporting intra-group cooperation," Economics Letters, Elsevier, vol. 102(3), pages 177-180, March.
  • Handle: RePEc:eee:ecolet:v:102:y:2009:i:3:p:177-180
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    Cited by:

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