Plausible cooperation
Article dans une revue: There is a large repeated games literature illustrating how future interactions provide incentives for cooperation. Much of the earlier literature assumes public monitoring. Departures from public monitoring to private monitoring that incorporate differences in players' observations may dramatically complicate coordination and the provision of incentives, with the consequence that equilibria with private monitoring often seem unrealistically complex or fragile. We set out a model in which players accomplish cooperation in an intuitively plausible fashion. Players process information via a mental system – a set of psychological states and a transition function between states depending on observations. Players restrict attention to a relatively small set of simple strategies, and consequently, might learn which perform well.
Auteur(s)
Olivier Compte, Andrew Postlewaite
Revue
- Games and Economic Behavior
Date de publication
- 2015
Mots-clés JEL
Mots-clés
- Repeated games
- Private monitoring
- Bounded rationality
- Cooperation
Pages
- 45–59
URL de la notice HAL
Version
- 1
Volume
- 91