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Cooperation and Wealth

  • Stark, Oded

    (University of Bonn and University of Vienna)

We calculate the equilibrium fraction of cooperators in a population in which payoffs accrue from playing a single-shot prisoner’s dilemma game. Individuals who are hardwired as cooperators or defectors are randomly matched into pairs, and cooperators are able to perfectly find out the type of a partner to a game by incurring a recognition cost. We show that the equilibrium fraction of cooperators relates negatively to the population’s level of wealth.

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Paper provided by Institute for Advanced Studies in its series Economics Series with number 123.

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Length: 10 pages
Date of creation: Oct 2002
Date of revision:
Handle: RePEc:ihs:ihsesp:123
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  1. Ken Binmore, 1998. "Game Theory and the Social Contract - Vol. 2: Just Playing," MIT Press Books, The MIT Press, edition 1, volume 2, number 0262024446, June.
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