Cycles of cooperation and free-riding in social systems
Basic evidences on non-profit making and other forms of benevolent-based organizations reveal a rough partition of members between somepure consumers of the public good (free-riders) and benevolent individuals (cooperators). We study the relationship between the community size and the level of cooperation in a simple model where the utility of joining the community is proportional to its size. We assume an idiosyncratic willingness to join the community ; cooperation bears a fixed cost while free-riding bears a (moral) idiosyncratic cost proportional to the fraction of cooperators. We show that the system presents two types of equilibria: fixed points (Nash equilibria) with a mixture of cooperators and free-riders and cycles where the size of the community, as well as the proportion of cooperators and free-riders, vary periodically.
|Date of creation:||02 Jan 2009|
|Note:||View the original document on HAL open archive server: https://hal.archives-ouvertes.fr/hal-00349642|
|Contact details of provider:|| Web page: https://hal.archives-ouvertes.fr/|
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- W. Hichri & A. Kirman, 2007.
"The emergence of coordination in public good games,"
The European Physical Journal B: Condensed Matter and Complex Systems,
Springer;EDP Sciences, vol. 55(2), pages 149-159, 01.
- Walid Hichri & Alan Kirman, 2007. "The Emergence of Coordination in Public Good Games," Post-Print halshs-00161572, HAL.
- Greiner, Ben & Vittoria Levati, M., 2005. "Indirect reciprocity in cyclical networks: An experimental study," Journal of Economic Psychology, Elsevier, vol. 26(5), pages 711-731, October.
- Ben Greiner & Maria Vittoria Levati, 2003. "Indirect Reciprocity in Cyclical Networks - An Experimental Study -," Papers on Strategic Interaction 2003-15, Max Planck Institute of Economics, Strategic Interaction Group.
- Jean-Pierre Nadal & Denis Phan & Mirta Gordon & Jean Vannimenus, 2005. "Multiple equilibria in a monopoly market with heterogeneous agents and externalities," Quantitative Finance, Taylor & Francis Journals, vol. 5(6), pages 557-568.
- Denis Phan & Mirta Gordon & J.-P. Nadal & J. Vannimenus, 2005. "Multiple equilibria in a monopoly market with heterogeneous agents and externalities," Post-Print halshs-00078792, HAL.
- Ernst Fehr & Urs Fischbacher, 2004. "Social norms and human cooperation," Macroeconomics 0409026, EconWPA.
- Ernst Fehr & Simon Gaechter, 2003. "Altruistic Punishment in Humans," Microeconomics 0305006, EconWPA.
- Denis Phan, 2005. "Cooperation and free riding with moral cost," Post-Print halshs-00105849, HAL.
- Denis Phan, 2006. "Discrete Choices under Social Influence:Generic Properties," Post-Print halshs-00105857, HAL.
- Mirta B. Gordon & Jean-Pierre Nadal & Denis Phan & Viktoriya Semeshenko, 2007. "Discrete Choices under Social Influence: Generic Properties," Working Papers halshs-00135405, HAL.
- Gachter, Simon & Fehr, Ernst, 1999. "Collective action as a social exchange," Journal of Economic Behavior & Organization, Elsevier, vol. 39(4), pages 341-369, July. Full references (including those not matched with items on IDEAS)