IDEAS home Printed from https://ideas.repec.org/a/kap/theord/v54y2003i3p207-229.html
   My bibliography  Save this article

Multiple Prisoner's Dilemma Games with(out) an Outside Option: an Experimental Study

Author

Listed:
  • Esther Hauk

Abstract

Experiments in which subjects play simultaneously several finite prisoner's dilemma supergames with and without an outside option reveal that: (i) subjects use probabilistic start and endeffect behaviour, (ii) the freedom to choose whether to play the prisoner's dilemma game enhances cooperation, (iii) if the payoff for simultaneous defection is negative, subjects' tendency to avoid losses leads them to cooperate; while this tendency makes them stick to mutual defection if its payoff is positive.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Esther Hauk, 2003. "Multiple Prisoner's Dilemma Games with(out) an Outside Option: an Experimental Study," Theory and Decision, Springer, vol. 54(3), pages 207-229, May.
  • Handle: RePEc:kap:theord:v:54:y:2003:i:3:p:207-229
    DOI: 10.1023/A:1027385819400
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1023/A:1027385819400
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1023/A:1027385819400?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Tesfatsion, Leigh, 1995. "A Trade Network Game with Endogenous Partner Selection," ISU General Staff Papers 199505010700001034, Iowa State University, Department of Economics.
    2. Kreps, David M. & Milgrom, Paul & Roberts, John & Wilson, Robert, 1982. "Rational cooperation in the finitely repeated prisoners' dilemma," Journal of Economic Theory, Elsevier, vol. 27(2), pages 245-252, August.
    3. Erev, Ido & Roth, Alvin E, 1998. "Predicting How People Play Games: Reinforcement Learning in Experimental Games with Unique, Mixed Strategy Equilibria," American Economic Review, American Economic Association, vol. 88(4), pages 848-881, September.
    4. Hauk, Esther, 2001. "Leaving the Prison: Permitting Partner Choice and Refusal in Prisoner's Dilemma Games," Computational Economics, Springer;Society for Computational Economics, vol. 18(1), pages 65-87, August.
    5. Esther Hauk & Rosemarie Nagel, 2000. "Choice of partners in multiple two-person prisoner's dilemma games: An experimental study," Economics Working Papers 487, Department of Economics and Business, Universitat Pompeu Fabra.
    6. Andreoni, James A & Miller, John H, 1993. "Rational Cooperation in the Finitely Repeated Prisoner's Dilemma: Experimental Evidence," Economic Journal, Royal Economic Society, vol. 103(418), pages 570-585, May.
    7. Esther Hauk, 2003. "Multiple Prisoner's Dilemma Games with(out) an Outside Option: an Experimental Study," Theory and Decision, Springer, vol. 54(3), pages 207-229, May.
    8. Albert Marcet & Juan P. Nicolini, 2003. "Recurrent Hyperinflations and Learning," American Economic Review, American Economic Association, vol. 93(5), pages 1476-1498, December.
    9. Fudenberg, Drew & Levine, David K., 1995. "Consistency and cautious fictitious play," Journal of Economic Dynamics and Control, Elsevier, vol. 19(5-7), pages 1065-1089.
    10. Parikshit Ghosh & Debraj Ray, 1996. "Cooperation in Community Interaction Without Information Flows," Review of Economic Studies, Oxford University Press, vol. 63(3), pages 491-519.
    11. Ashlock, Dan & Smucker, Mark & Stanley, E. Ann & Tesfatsion, Leigh, 1994. "Preferential Partner Selection in an Evolutionary Study of Prisoner's Dilemma," ISU General Staff Papers 199409010700001033, Iowa State University, Department of Economics.
    12. Stanley, E. Ann & Ashlock, Dan & Tesfatsion, Leigh, 1993. "Iterated Prisoner's Dilemma with Choice and Refusal of Partners," ISU General Staff Papers 199302010800001028, Iowa State University, Department of Economics.
    13. William A. Brock & Cars H. Hommes, 1997. "A Rational Route to Randomness," Econometrica, Econometric Society, vol. 65(5), pages 1059-1096, September.
    14. Selten, Reinhard & Stoecker, Rolf, 1986. "End behavior in sequences of finite Prisoner's Dilemma supergames A learning theory approach," Journal of Economic Behavior & Organization, Elsevier, vol. 7(1), pages 47-70, March.
    15. Morikawa, Tomonori & Orbell, John M. & Runde, Audun S., 1995. "The Advantage of Being Moderately Cooperative," American Political Science Review, Cambridge University Press, vol. 89(3), pages 601-611, September.
    16. Gérard P. Cachon & Colin F. Camerer, 1996. "Loss-Avoidance and Forward Induction in Experimental Coordination Games," The Quarterly Journal of Economics, Oxford University Press, vol. 111(1), pages 165-194.
    17. Orbell, John M. & Schwartz-Shea, Peregrine & Simmons, Randy T., 1984. "Do Cooperators Exit More Readily than Defectors?," American Political Science Review, Cambridge University Press, vol. 78(1), pages 147-162, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Boun My, Kene & Chalvignac, Benoît, 2010. "Voluntary participation and cooperation in a collective-good game," Journal of Economic Psychology, Elsevier, vol. 31(4), pages 705-718, August.
    2. Daniele Nosenzo & Fabio Tufano, 2015. "Entry or Exit? The Effect of Voluntary Participation on Cooperation," Discussion Papers 2015-20, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham.
    3. Nosenzo, Daniele & Tufano, Fabio, 2017. "The effect of voluntary participation on cooperation," Journal of Economic Behavior & Organization, Elsevier, vol. 142(C), pages 307-319.
    4. Esther Hauk, 2003. "Multiple Prisoner's Dilemma Games with(out) an Outside Option: an Experimental Study," Theory and Decision, Springer, vol. 54(3), pages 207-229, May.
    5. Kene Boun My & Alban Verchere & Stephane Bertrand, 2009. "Does Bilateralism Foster Co‐operation in Europe? An Experimental Approach of Comparative Merits of Bilateralism and Multilateralism," Journal of Common Market Studies, Wiley Blackwell, vol. 47(4), pages 891-910, September.
    6. Guido, Andrea & Robbett, Andrea & Romaniuc, Rustam, 2019. "Group formation and cooperation in social dilemmas: A survey and meta-analytic evidence," Journal of Economic Behavior & Organization, Elsevier, vol. 159(C), pages 192-209.
    7. S. K. Berninghaus & Werner Gueth & Katinka Pantz & Bodo Vogt, 2004. "Evolution of Spontaneous Social Exchange - An Experimental Study -," Papers on Strategic Interaction 2004-17, Max Planck Institute of Economics, Strategic Interaction Group.
    8. Kene Boun My & Alban Verchere & Stephane Bertrand, 2009. "Does Bilateralism Foster Co‐operation in Europe? An Experimental Approach of Comparative Merits of Bilateralism and Multilateralism," Journal of Common Market Studies, Wiley Blackwell, vol. 47(4), pages 891-910, September.
    9. John Duffy & Félix Muñoz-García, 2012. "Patience or Fairness? Analyzing Social Preferences in Repeated Games," Games, MDPI, Open Access Journal, vol. 3(1), pages 1-22, March.
    10. Mitzkewitz, Michael & Neugebauer, Tibor, 2020. "Can intermediaries assure contracts? Experimental evidence," Games and Economic Behavior, Elsevier, vol. 124(C), pages 354-368.
    11. Jones, Matthew T., 2014. "Strategic complexity and cooperation: An experimental study," Journal of Economic Behavior & Organization, Elsevier, vol. 106(C), pages 352-366.
    12. Dorothée Honhon & Kyle Hyndman, 2020. "Flexibility and Reputation in Repeated Prisoner’s Dilemma Games," Management Science, INFORMS, vol. 66(11), pages 4998-5014, November.
    13. Claudia Keser & Claude Montmarquette, 2011. "Voluntary versus Enforced Team Effort," Games, MDPI, Open Access Journal, vol. 2(3), pages 1-25, August.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hauk, Esther, 1997. "Discriminating to learn to discriminate," UC3M Working papers. Economics 6058, Universidad Carlos III de Madrid. Departamento de Economía.
    2. Esther Hauk, "undated". "Leaving the Prison: A Discussion of the Iterated Prisoner's Dilemma under Preferential Partner Selection," Computing in Economics and Finance 1996 _067, Society for Computational Economics.
    3. Yoella Bereby-Meyer & Alvin E. Roth, 2006. "The Speed of Learning in Noisy Games: Partial Reinforcement and the Sustainability of Cooperation," American Economic Review, American Economic Association, vol. 96(4), pages 1029-1042, September.
    4. Mengel, Friederike, 2014. "Learning by (limited) forward looking players," Journal of Economic Behavior & Organization, Elsevier, vol. 108(C), pages 59-77.
    5. Todd Guilfoos & Andreas Pape, 2016. "Predicting human cooperation in the Prisoner’s Dilemma using case-based decision theory," Theory and Decision, Springer, vol. 80(1), pages 1-32, January.
    6. Maria Bigoni & Marco Casari & Andrzej Skrzypacz & Giancarlo Spagnolo, 2015. "Time Horizon and Cooperation in Continuous Time," Econometrica, Econometric Society, vol. 83, pages 587-616, March.
    7. Ledyard, John O., "undated". "Public Goods: A Survey of Experimental Research," Working Papers 861, California Institute of Technology, Division of the Humanities and Social Sciences.
    8. Elwyn Davies & Marcel Fafchamps, 2017. "When No Bad Deed Goes Punished: Relational Contracting in Ghana versus the UK," NBER Working Papers 23123, National Bureau of Economic Research, Inc.
    9. Elwyn Davies & Marcel Fafchamps, 2015. "When No Bad Deed Goes Punished: A Relational Contracting Experiment in Ghana," CSAE Working Paper Series 2015-08, Centre for the Study of African Economies, University of Oxford.
    10. Chun Lei Yang & Ching Syang Jack Yue, 2004. "The Rise of Cooperation in Correlated Matching Prisoners Dilemma: An Experiment," Levine's Bibliography 122247000000000097, UCLA Department of Economics.
    11. Camerer, Colin F. & Ho, Teck-Hua, 2015. "Behavioral Game Theory Experiments and Modeling," Handbook of Game Theory with Economic Applications,, Elsevier.
    12. Chun-Lei Yang & Ching-Syang Jack Yue & I-Tang Yu, 2007. "The rise of cooperation in correlated matching prisoners dilemma: An experiment," Experimental Economics, Springer;Economic Science Association, vol. 10(1), pages 3-20, March.
    13. Howard Kunreuther & Gabriel Silvasi & Eric T. Bradlow & Dylan Small, 2007. "Deterministic and Stochastic Prisoner's Dilemma Games: Experiments in Interdependent Security," NBER Technical Working Papers 0341, National Bureau of Economic Research, Inc.
    14. McFadzean, David & Tesfatsion, Leigh, 1999. "A C++ Platform for the Evolution of Trade Networks," Computational Economics, Springer;Society for Computational Economics, vol. 14(1-2), pages 109-134, October.
    15. Leigh S. Tesfatsion, "undated". "An Evolutionary Trade Network Game with Preferential Partner Selection," Computing in Economics and Finance 1996 _057, Society for Computational Economics.
    16. Tesfatsion, Leigh, 1998. "Gale-Shapley Matching in an Evolutionary Trade Network Game," ISU General Staff Papers 199804010800001041, Iowa State University, Department of Economics.
    17. Tesfatsion, Leigh, 1995. "A Trade Network Game with Endogenous Partner Selection," ISU General Staff Papers 199505010700001034, Iowa State University, Department of Economics.
    18. Robert Slonim, 2005. "Competing Against Experienced and Inexperienced Players," Experimental Economics, Springer;Economic Science Association, vol. 8(1), pages 55-75, April.
    19. Pedro Dal Bó, 2005. "Cooperation under the Shadow of the Future: Experimental Evidence from Infinitely Repeated Games," American Economic Review, American Economic Association, vol. 95(5), pages 1591-1604, December.
    20. Camerer, Colin F. & Ho, Teck-Hua & Chong, Juin-Kuan, 2002. "Sophisticated Experience-Weighted Attraction Learning and Strategic Teaching in Repeated Games," Journal of Economic Theory, Elsevier, vol. 104(1), pages 137-188, May.

    More about this item

    Keywords

    Prisoner's dilemma; Cooperation; Exit; Experiments; Loss aversion;
    All these keywords.

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:theord:v:54:y:2003:i:3:p:207-229. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: http://www.springer.com .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.