Theory of mind refers to the ability to reason explicitly about unobservable mental content of others, such as beliefs, goals, and intentions. People often use this ability to understand the behavior of others as well as to predict future behavior. People even take this ability a step further, and use higher-order theory of mind by reasoning about the way others make use of theory of mind and in turn attribute mental states to different agents. One of the possible explanations for the emergence of the cognitively demanding ability of higher-order theory of mind suggests that it is needed to deal with mixed-motive situations. Such mixed-motive situations involve partially overlapping goals, so that both cooperation and competition play a role. In this paper, we consider a particular mixed-motive situation known as Colored Trails, in which computational agents negotiate using alternating offers with incomplete information about the preferences of their trading partner. In this setting, we determine to what extent higher-order theory of mind is beneficial to computational agents. Our results show limited effectiveness of first-order theory of mind, while second-order theory of mind turns out to benefit agents greatly by allowing them to reason about the way they can communicate their interests. Additionally, we let human participants negotiate with computational agents of different orders of theory of mind. These experiments show that people spontaneously make use of second-order theory of mind in negotiations when their trading partner is capable of second-order theory of mind as well.
When people make decisions in a social context, they often make use of theory of mind, by reasoning about unobservable mental content of others. For example, the behavior of a pedestrian who wants to cross the street depends on whether or not he believes that the driver of an oncoming car has seen him or not. People can also reason about the theory of mind abilities of others, leading to recursive thinking of the sort ‘I think that you think that I think…’. Previous research suggests that this ability may be especially effective in simple competitive settings. In this paper, we use a combination of computational agents and Bayesian model selection to determine to what extent people make use of higher-order theory of mind reasoning in a particular competitive game known as matching pennies. We find that while many children and adults appear to make use of theory of mind, participants are also often classified as using a simpler reactive strategy based only on the actions of the directly preceding round. This may indicate that human reasoners do not primarily use their theory of mind abilities to compete with others.
Evolutionary models for altruistic behaviour typically make the assumption of homogeneity: each individual has the same costs and benefits associated with cooperating with each other and punishing for selfish behaviour. In this paper, we relax this assumption by separating the population into heterogeneous classes, such that individuals from different classes differ in their ability to punish for selfishness. We compare the effects of introducing heterogeneity this way across two population models, that each represents a different type of population: the infinite and well-mixed population describes the way workers of social insects such as ants are organized, while a spatially structured population is more related to the way social norms evolve and are maintained in a social network.We find that heterogeneity in the effectiveness of punishment by itself has little to no effect on whether or not altruistic behaviour will stabilize in a population. In contrast, heterogeneity in the cost that individuals pay to punish for selfish behaviour allows altruistic behaviour to be maintained more easily. Fewer punishers are needed to deter selfish behaviour, and the individuals that punish will mostly belong to the class that pays a lower cost to do so. This effect is amplified when individuals that pay a lower cost for punishing inflict a higher punishment.The two population models differ when individuals that pay a low cost for punishing also inflict a lower punishment. In this situation, altruistic behaviour becomes harder to maintain in an infinite and well-mixed population. However, this effect does not occur when the population is spatially structured.
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