Social Norms and the Evolution of Conditional Cooperation

This paper develops a model of social norms and cooperation in large societies. Within this framework we use an indirect evolutionary approach to study the endogenous formation of preferences and the coevolution of norm compliance. Thereby we link the multiplicity of equilibria, which emerges in the presence of social norms, to the evolutionary analysis: Individuals face situations where many others cooperate as well as situations where a majority free-rides. The evolutionary adaptation to such heterogenous environments will favor conditional cooperators, who condition their pro-social behavior on the others' cooperation. As conditional cooperators react flexibly to their social environment, they dominate free-riders as well as unconditional cooperators

“Economic man” in cross-cultural perspective: Behavioral experiments in 15 small-scale societies

Researchers from across the social sciences have found consistent deviations from the predictions of the canonical model of self-interest in hundreds of experiments from around the world. This research, however, cannot determine whether the uniformity results from universal patterns of human behavior or from the limited cultural variation available among the university students used in virtually all prior experimental work. To address this, we undertook a cross-cultural study of behavior in ultimatum, public goods, and dictator games in a range of small-scale societies exhibiting a wide variety of economic and cultural conditions. We found, first, that the canonical model – based on self-interest – fails in all of the societies studied. Second, our data reveal substantially more behavioral variability across social groups than has been found in previous research. Third, group-level differences in economic organization and the structure of social interactions explain a substantial portion of the behavioral variation across societies: the higher the degree of market integration and the higher the payoffs to cooperation in everyday life, the greater the level of prosociality expressed in experimental games. Fourth, the available individual-level economic and demographic variables do not consistently explain game behavior, either within or across groups. Fifth, in many cases experimental play appears to reflect the common interactional patterns of everyday life

Social Equity Matters in Payments for Ecosystem Services

Although conservation efforts have sometimes succeeded in meeting environmental goals at the expense of equity considerations, the changing context of conservation and a growing body of evidence increasingly suggest that equity considerations should be integrated into conservation planning and implementation. However, this approach is often perceived to be at odds with the prevailing focus on economic efficiency that characterizes many payment for ecosystem services (PES) schemes. Drawing from examples across the literature, we show how the equity impacts of PES can create positive and negative feedbacks that influence ecological outcomes. We caution against equity-blind PES, which overlooks these relationships as a result of a primary and narrow focus on economic efficiency. We call for further analysis and better engagement between the social and ecological science communities to understand the relationships and trade-offs among efficiency, equity, and ecological outcomes

The Evolution of Social Contracts

Influential thinkers such as Young, Sugden, Binmore, and Skyrms have developed game-theoretic accounts of the emergence, persistence and evolution of social contracts. Social contracts are sets of commonly understood rules that govern cooperative social interaction within societies. These naturalistic accounts provide us with valuable and important insights into the foundations of human societies. However, current naturalistic theories focus mainly on how social contracts solve coordination problems in which the interests of the individual participants are aligned, not competition problems in which individual interests compete with group interests. In response, I set out to build on those theories and provide a comprehensive naturalistic account of the emergence, persistence and evolution of social contracts. My central claim is that social contracts have culturally evolved to solve cooperation problems, which include both coordination and competition problems. I argue that solutions to coordination problems emerge from “within-group” dynamics, while solutions to competition problems result largely from “between-group” dynamics

Is Strong Reciprocity a Maladaptation? On the Evolutionary Foundations of Human Altruism

In recent years a large number of experimental studies have documented the existence of strong reciprocity among humans. Strong reciprocity means that people willingly repay gifts and punish the violation of cooperation and fairness norms even in anonymous one-shot encounters with genetically unrelated strangers. We provide ethnographic and experimental evidence suggesting that ultimate theories of kin selection, reciprocal altruism, costly signaling and indirect reciprocity do not provide satisfactory evolutionary explanations of strong reciprocity. The problem of these theories is that they can rationalize strong reciprocity only if it is viewed as maladaptive behavior whereas the evidence suggests that it is an adaptive trait. Thus, we conclude that alternative evolutionary approaches are needed to provide ultimate accounts of strong reciprocity.

Vengefulness Evolves in Small Groups

We discuss how small group interactions overcome evolutionary problems that might otherwise erode vengefulness as a preference trait. The basic viability problem is that the fitness benefits of vengeance often do not cover its personal cost. Even when a sufficiently high level of vengefulness brings increased fitness, at lower levels, vengefulness has a negative fitness gradient. This leads to the threshold problem: how can vengefulness become established in the first place? If it somehow becomes established at a high level, vengefulness creates an attractive niche for cheap imitators, those who look like highly vengeful types but do not bear the costs. This is the mimicry problem, and unchecked it could eliminate vengeful traits. We show how within-group social norms can solve these problems even when encounters with outsiders are also important.

The Viability of Cooperation Based on Interpersonal Commitment

A prominent explanation of cooperation in repeated exchange is reciprocity (e.g. Axelrod, 1984). However, empirical studies indicate that exchange partners are often much less intent on keeping the books balanced than Axelrod suggested. In particular, there is evidence for commitment behavior, indicating that people tend to build long-term cooperative relationships characterised by largely unconditional cooperation, and are inclined to hold on to them even when this appears to contradict self-interest. Using an agent-based computational model, we examine whether in a competitive environment commitment can be a more successful strategy than reciprocity. We move beyond previous computational models by proposing a method that allows to systematically explore an infinite space of possible exchange strategies. We use this method to carry out two sets of simulation experiments designed to assess the viability of commitment against a large set of potential competitors. In the first experiment, we find that although unconditional cooperation makes strategies vulnerable to exploitation, a strategy of commitment benefits more from being more unconditionally cooperative. The second experiment shows that tolerance improves the performance of reciprocity strategies but does not make them more successful than commitment. To explicate the underlying mechanism, we also study the spontaneous formation of exchange network structures in the simulated populations. It turns out that commitment strategies benefit from efficient networking: they spontaneously create a structure of exchange relations that ensures efficient division of labor. The problem with stricter reciprocity strategies is that they tend to spread interaction requests randomly across the population, to keep relations in balance. During times of great scarcity of exchange partners this structure is inefficient because it generates overlapping personal networks so that often too many people try to interact with the same partner at the same time.Interpersonal Commitment, Fairness, Reciprocity, Agent-Based Simulation, Help Exchange, Evolution

Adaptive Governance and Evolving Solutions to Natural Resource Conflicts

New Zealand is facing increasing challenges in managing natural resources (land, freshwater, marine space and air quality) under pressures from domestic (population growth, agricultural intensification, cultural expectations) and international (climate change) sources. These challenges can be described in terms of managing ‘wicked problems’; i.e. problems that may not be understood fully until they have been solved, where stakeholders have different world views and frames for understanding the problem, the constraints affecting the problem and the resources required to solve it change over time, and no complete solution is ever actually found. Adaptive governance addresses wicked problems through a framework to engage stakeholders in a participative process to create a long term vision. The vision must identify competing goals and a process for balancing them over time that acknowledges conflicts cannot always be resolved in a single lasting decision. Circumstances, goals and priorities can all vary over time and by region. The Resource Management Act can be seen as an adaptive governance structure where frameworks for resources such as water may take years to evolve and decades to fully implement. Adaptive management is about delivery through an incremental/experimental approach, limits on the certainty that governments can provide and stakeholders can demand, and flexibility in processes and results. In New Zealand it also requires balancing central government expertise and resources, with local authorities which can reflect local goals and knowledge, but have varying resources and can face quite distinct issues of widely differing severity. It is important to signal the incremental, overlapping, iterative and time-consuming nature of the work involved in developing and implementing adaptive governance and management frameworks. Managing the expectations of those involved as to the nature of the process and their role in it, and the scope and timing of likely outcomes, is key to sustaining participation.Adaptive capacity; governance; resilience

Economic Incentives and Social Preferences: A Preference-based Lucas Critique of Public Policy

Policies and explicit private incentives designed for self-regarding individuals sometimes are less effective or even counterproductive when they diminish altruism, ethical norms and other social preferences. Evidence from 51 experimental studies indicates that this crowding out effect is pervasive, and that crowding in also occurs. A model in which self-regarding and social preferences may be either substitutes or complements is developed and evidence for the mechanisms underlying this non-additivity feature of preferences is provided. The result is a preference-based analogue to the Lucas Critique restricting feasible implementation to allocations that are supportable given the effect of incentives on preferences.public goods, behavioural experiments, social preferences, second best, motivational crowding, explicit incentives

On Custom

Custom is a key factor for economic performance. Social and economic institutions build on it. The purpose of this paper is to reflect on the motivational force of custom per se, as brought about by history. History creates entitlements, and these influence behavior. Custom is thus understood as a set of behavioral dispositions inherited from the past. In this, the present considerations deviate from earlier approaches that take custom as being stabilized by external rewards and sanctions alon