Assortative Matching, Information and Cooperation: An Experiment
7 Pages Posted: 2 Feb 2010
Date Written: January 28, 2010
Yang et al. (2007) show that assortative matching mechanisms can induce a high level of cooperation to prevail in repeated prisoners’ dilemma experiments, but societies may also head to an all-defection state rapidly. Here, we additionally provide information on income distribution and show that cooperation significantly increases overall. Moreover, the effect can be traced back to a higher cooperation rate for people in the lowest income classes.
Keywords: Prisoners’ dilemma, assortative matching, information, cooperation, experiment
JEL Classification: B52, C91, D74
Suggested Citation: Suggested Citation