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Multi-level evolution in population games

Listed author(s):
  • José Canals

    (Dept. of Economics, University of Virginia, USA)

  • Fernando Vega-Redondo

    (Facultad de Económicas and Instituto Valenciano de Investigaciones Económicas, Universidad de Alicante, 03071 Alicante, Spain)

In this paper, we analyze a generalization of the evolutionary model of Kandori, Mailath, & Rob (1993) where the population is partitioned into groups and evolution takes place "in parallel" at the following two levels: (i) within groups, at the lower level; among groups, at the higher one. Unlike in their context, efficiency considerations always overcome those of risk-dominance in the process of selecting the long-run equilibrium. This provides an explicitly dynamic basis for a conclusion reminiscent of those put forward in the biological literature by the so-called theories group selection. From a normative viewpoint, it suggests the potential importance of "decentralization", here understood as local and independent interaction.

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Article provided by Springer & Game Theory Society in its journal International Journal of Game Theory.

Volume (Year): 27 (1998)
Issue (Month): 1 ()
Pages: 21-35

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Handle: RePEc:spr:jogath:v:27:y:1998:i:1:p:21-35
Note: Received April 1995/Revised version October 1996
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