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Preprints, Working Papers, ... Year : 2019

Learning to cooperate in the shadow of the law

Abstract

How does the exposure to past institutions affect current cooperation? While a growing literature focuses on behavioral channels, we show how cooperation-enforcing institutions affect rational learning about the group’s value. Strong institutions, by inducing members to cooperate, may hinder learning about intrinsic values in the group. We show, using a lab experiment with independent interactions and random rematching, that participants behave in accordance with a learning model, and in particular react differently to actions of past partners whether they were played in an environment with coercive enforcement or not.
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Dates and versions

hal-03393094 , version 1 (21-10-2021)
hal-03393094 , version 2 (27-11-2022)

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Roberto Galbiati, Emeric Henry, Nicolas Jacquemet. Learning to cooperate in the shadow of the law. 2019. ⟨hal-03393094v2⟩
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