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Spatial Evolution of Social Norms in a Common-Pool Resource Game

  • Joëlle Noailly

    (CPB Netherlands Bureau for Economic Policy Analysis)

  • Cees A. Withagen

    (Free University and Tilburg University)

  • Jeroen C.J.M. van den Bergh

    (Free University)

We study the conditions for the emergence of cooperation in a spatial common-pool resource game. We consider three types of agents: cooperators, defectors and enforcers. The role of enforcers is to punish defectors for overharvesting the resource. Agents are located around a circle and they only observe the actions of their two nearest neighbors. Their payoffs are determined by both local and global interactions and they modify their actions by imitating the strategy in their neighborhood with the highest payoffs on average. Using theoretical and numerical analysis, we find that a large diversity of equilibria exists in this game. In particular, we derive conditions for the occurrence of equilibria in which the three strategies coexist. We also discuss the stability of these equilibria. Finally, we show that introducing resource dynamics favors the occurrence of cooperative equilibria.

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Paper provided by Fondazione Eni Enrico Mattei in its series Working Papers with number 2005.79.

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Date of creation: May 2005
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Handle: RePEc:fem:femwpa:2005.79
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  1. Sethi, Rajiv & Somanathan, E, 1996. "The Evolution of Social Norms in Common Property Resource Use," American Economic Review, American Economic Association, vol. 86(4), pages 766-88, September.
  2. repec:cup:cbooks:9780521297615 is not listed on IDEAS
  3. Joëlle Noailly & Jeroen C.J.M. van den Bergh & Cees A. Withagen, 2005. "Local and Global Interactions in an Evolutionary Resource Game," Working Papers 2005.78, Fondazione Eni Enrico Mattei.
  4. Chichilnisky, Graciela, 1994. "North-South Trade and the Global Environment," American Economic Review, American Economic Association, vol. 84(4), pages 851-74, September.
  5. Eshel, I. & Samuelson, L. & Shaked, A., 1996. "Altruists, Egoists and Hooligans in a Local Interaction Model," Working papers 9612r, Wisconsin Madison - Social Systems.
  6. Eshel, Ilan & Samuelson, Larry & Shaked, Avner, 1998. "Altruists, Egoists, and Hooligans in a Local Interaction Model," American Economic Review, American Economic Association, vol. 88(1), pages 157-79, March.
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