Transcript
Page 1: Reputation, incentives, and opportunism

Reputation, incentives, and opportunism

(with Christian Hilbe)

Page 2: Reputation, incentives, and opportunism

Public Good game with positive or

negative incentives

Two players game for simplicity and to compare with Rand, Armao, Nakamaru and Ohtsuki (2010)

Page 3: Reputation, incentives, and opportunism

Public goods with punishment

)mostly and

, assume (we

cost at fine :punishment a

:player -co toincentivedeliver can player Second,

ccost at

player -co tob help providecan player First,

bc

Page 4: Reputation, incentives, and opportunism

2-Stage Game

P] [D, N], [D, P], [C, N],[C, strategies 4

Nor P stage, secondIn

Dor C stage,first In

Page 5: Reputation, incentives, and opportunism

2 Stage Game

Page 6: Reputation, incentives, and opportunism

Conditional Strategies

manifolds invariant

)()()()(

4231

42

31

4231

xKxxx

constxx

xx

MxMxMxMx

Page 7: Reputation, incentives, and opportunism

Punishment unstable

Page 8: Reputation, incentives, and opportunism

Opportunistic Players

P] ,[O N], ,[O P], ,[O N],,[O strategies 4

Nor P stage, secondIn

Oor O stage,first In

)1:(

P)or (Nplayer -co of typeknowsplayer that prob.

DDCC

DC

Page 9: Reputation, incentives, and opportunism
Page 10: Reputation, incentives, and opportunism

Bistability

[OC,P]

Page 11: Reputation, incentives, and opportunism

Role of reputation in Punishment

Punishment as deterrent

Page 12: Reputation, incentives, and opportunism

Role of reputation in Punishment

Punishment as deterrent

Revenge economically useful

Page 13: Reputation, incentives, and opportunism

Role of reputation in Punishment

Punishment as deterrent

Revenge economically useful

Revenge is sweet (=fitness-enhancing)

Anger is loud

Page 14: Reputation, incentives, and opportunism

Role of reputation in Punishment

Punishment as deterrent

Revenge economically useful

Revenge is sweet (=fitness-enhancing)

Anger is loud

Barclay (‚Don‘t mess with the enforcer‘)

Page 15: Reputation, incentives, and opportunism

Role of reputation in Punishment

Punishment as deterrent

Revenge economically useful

Revenge is sweet (=fitness-enhancing)

Anger is loud

Barclay (‚Don‘t mess with the enforcer‘)

Non-altruistic punishment

Page 16: Reputation, incentives, and opportunism

Role of reputation in Punishment

Punishment as deterrent

Revenge economically useful

Revenge is sweet (=fitness-enhancing)

Anger is loud

Barclay (‚Don‘t mess with the enforcer‘)

Non-altruistic punishment

Kurzban et al, Suter: ‚Audience effects‘

Page 17: Reputation, incentives, and opportunism

Similarity with Ultimatum

Page 18: Reputation, incentives, and opportunism

Similarity with Ultimatum

• Ultimatum with orwithout reputation

• (Fehr andFischbacher, Nature 2004)

Page 19: Reputation, incentives, and opportunism

The feeling of being watched

‚Conscience…the nagging feeling that someone may be watching‘

(Mencken)

Page 20: Reputation, incentives, and opportunism

The feeling of being watched

Subliminal cues:

Fessler, Haley

Bateson et al

Ancestral environment

Page 21: Reputation, incentives, and opportunism

Public goods with reward

for efficiency low

,

cost at benefit

:reward adeliver can player Second,

bccost at

player -co tob help providecan player First,

bc

Page 22: Reputation, incentives, and opportunism

Trust game

Page 23: Reputation, incentives, and opportunism

Trust game with reputation

Page 24: Reputation, incentives, and opportunism

Trust game with reputation

For large mu,

prosocial behavior

Page 25: Reputation, incentives, and opportunism

Reward and Punishment

defects) O doubt; of casein cooperates O(

O and O types two:players ticOpportunis

AllD and AllC players nalUnconditio

:stagefirst in types4

N :neither do I,both do P,Punish R, Reward

:stage secondin moves 4

:Extension

DC

DC

Page 26: Reputation, incentives, and opportunism

Payoff

Page 27: Reputation, incentives, and opportunism

Results:

],[],[],[ON][AllD,

:smaller for

],[],[],[ON][AllD,

:larger for pathway

if catalyses ],[

wins],[

D

D

POROR

POPON

bRO

PO

CC

CD

D

C

Page 28: Reputation, incentives, and opportunism

The case of high information (μ=0.75)

Page 29: Reputation, incentives, and opportunism

The case of low information (μ=0.25)

Page 30: Reputation, incentives, and opportunism
Page 31: Reputation, incentives, and opportunism
Page 32: Reputation, incentives, and opportunism

Antisocial Punishment

)(with

nothingpunish :N

(spite) everythingpunish : S

l)(antisocian Cooperatiopunish :A

Defectionpunish :P :stage Second

O ,O AllD, AllC, :stageFirst DC

Page 33: Reputation, incentives, and opportunism

Antisocial punishment

• Rand, Armao, Nakamaru, Ohtsuki (JTB 2010)

• Localised interaction:

Social life in groups of N+1 individuals

(introduces spite effects)

Modified replicator equation (or z-dynamics)

Page 34: Reputation, incentives, and opportunism

Antisocial Punishment

high nor too

low oneither to fine if evolves ],O[

) (if Sor

) (if Nby dominated weakly isA

dominated weakly AllD AllC,

C P

N

N

Page 35: Reputation, incentives, and opportunism
Page 36: Reputation, incentives, and opportunism
Page 37: Reputation, incentives, and opportunism


Top Related