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Markets, Religion, Community Size, and the Evolution of Fairness and Punishment by Joseph Henrich Tim Nees 倪家泰 Behavioral Game Theory: Theory Experiment Conclusion Benedikt Gottschlich 高家志

Behavioral Game Theory - homepage.ntu.edu.twhomepage.ntu.edu.tw/~josephw/...et_al_game-theory... · Behavioral Game Theory: Theory Experiment Conclusion ... behavioral fairness Measure

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Markets, Religion, Community Size, and the Evolution of Fairnessand Punishment

by Joseph Henrich

Tim Nees倪家泰

Behavioral Game Theory:

Theory Experiment Conclusion

Benedikt Gottschlich 高家志

The Dictator Game

Maximization of Pay-off

CostlyFairness

vs.

Expansion Theory

Conflictive Theories

Social Norm

Evolution Theory

Social Norm Social Norm

How Do We Measure Societies?

Subsistence Economy Market Economy

Tribal Religion World Religion

Big CommunitiesSmall Communities

Markets

Religion

Community Size

What makes the difference?

Anonymity/ InstitutionsFamily/ Clan

Applies toknown people

Fairness

Punishment

Applies tounknown people

How to find out:

Test for Normsin anonymious

setting

Evolution

Experiment

A B

C

makes an offer

receives one-half of the stake (guaranteed!)

can invest 20% of his allo-cation to punish player A if so, A looses triplethe amount paid by C

100$

50$

20$100-20= 80$

50-10=40$

80-30=50$

“Third-Party Punishment Game”

Dictator Game (DG) Ultimatum Game (UG) Third-Party PunishmentGame (TPG)

Measure ofbehavioral fairness

Measure ofbehavioral fairness

Measure ofbehavioral fairness

Measure ofpunishment

Measure ofpunishment

Experimental Setting

Results: Linear Regression Model for Offers(additional control variables: sex, age, community size, education)

Results: Market Integration & Mean Dictator Game offers

The bigger the com-munity, the earlier unfair behaviour is punished

Community Size & Punishment

Evolution of Norms

Societies are different - Caution with interpretation

of experiments

Expansion of Norms

Two Theories:

Conclusion