In a pairwise interaction, an individual who uses costly punishment must pay a cost in order that the opponent incurs a cost. It has been argued that individuals will behave more cooperatively if they know that their opponent has the option of using costly punishment. We examined this hypothesis by conducting two repeated two-player Prisoner's Dilemma experiments, that differed in their payoffs associated to cooperation, with university students from Beijing as participants. In these experiments, the level of cooperation either stayed the same or actually decreased when compared with the control experiments in which costly punishment was not an option. We argue that this result is likely due to differences in cultural attitudes to cooperation and punishment based on similar experiments with university students from Boston that found cooperation did increase with costly punishment.antisocial punishment ͉ cultural effects ͉ experimental outcome ͉ Prisoner's Dilemma repeated game ͉ reputation
People on average do not play their individually rational Nash equilibrium (NE) strategy in game experiments based on the public goods game (PGG) that model social dilemmas. Differences from NE behavior have also been observed in PGG experiments that include incentives to cooperate, especially when these are peer-incentives administered by the players themselves. In our repeated PGG experiment, an institution rewards and punishes individuals based on their contributions. The primary experimental result is that institutions which both reward and punish (IRP) promote cooperation significantly better than either institutions which only punish (IP) or which only reward (IR), and that IP has contribution levels significantly above IR. Although comparing their single-round NE strategies correctly predicts which incentives are best at promoting cooperation, individuals do not play these strategies overall. Our analysis shows that other intrinsic motivations that combine conforming behavior with reactions to being rewarded/punished provide a better explanation of observed outcomes. In our experiments, some individuals who display more cooperation than other individuals can be regarded as the exemplars (or leaders). The role of these exemplars in promoting cooperation provides important insights into understanding cooperation in PGG and the effectiveness of institutional incentives at promoting desirable societal behavior.
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