Frontiers in Social Dilemmas Research Springer Berlin Heidelberg New York Barcelona Budapest Hong Kong London Milan Paris Santa Clara Singapore Tokyo Wim B.G. Liebrand David M. Messick (Eds.) Frontiers in Social Dilemmas Research With 67 Figures and 41 Tables Springer Prof. Dr. Wim B. G. Liebrand University of Groningen Social Science Information Technology Grote Rozenstraat 15 NL-9712 TG Groningen, The Netherlands Prof. Dr. David M. Messick Northwestern University J.L. Kellogg Graduate School of Management 356 Leverone Hall 2001 Sheridan Road Evanston, IL 60208-2001, USA ISBN-13: 978-3-642-85263-3 e-ISBN-13: 978-3-642-85261-9 DOl: 10.1007/978-3-642-85261-9 Cataloging-in Publication Data applied for Die Deutsche Bibliothek - CIP-Einheitsaufnahme Frontiers in social dilemmas research: with 41 tableslWim B. G. Liebrand; David M. Mes sick (ed.). - Berlin; Heidelberg; New York; Barcelona; Budapest; Hong Kong; London; Milan; Paris; Santa Clara; Singapore; Tokyo: Springer, 1996 NE: Liebrand. Wim B. G. [Hrsg.] This work is subject to copyright. All rights are reserved, whether the whole or part of the material is concerned, specifically the rights of translation. reprinting. reuse of illus trations. recitation. broadcasting. reproduction on microfilm or in any other way. and storage in data banks. Duplication of this publication or parts thereof is permitted only under the provisions of the German Copyright Law of September 9. 1965. in its current version and a copyright fee must always be paid. Violations fall under the prosecution act of the German Copyright Law. C Springer-Verlag Berlin· Heidelberg 1996 Softcover reprint of the hardcover 1s t edition 1996 The use of general descriptive names. registered names. trademarks. etc. in this publica tion does not imply, even in the absence of a specific statement. that such names are exempt from the relevant protective laws and regulations and therefore free for general use. SPIN 10539344 42/2202.-5 4 3 2. 1 0 - Printed on acid-free paper Preface This book contains a selection of the contributions to the 6th International Conference on Social Dilemmas which was held in Wassenaar, The Nether lands, in June, 1995. The first of these conferences, held in 1984, had 17 participants, nearly all of whom were social psychologists. The current confer ence, in contrast, had more than 100 applications coming from many disci plines. This growth, in a mere 12 years, evidences the importance of the topic and the breadth of interest in it in the social and behavioral sciences. This conference would not have happened without the support of the Nether lands Institute for Advanced Study in the Humanities and Social Sciences (NlAS). They provided a stimulating environment for the research group "Un derstanding Social Dilemmas" during the 1995/96 academic year. As the conclusion to this research year, NIAS and the Royal Dutch Academy of Sci ences (KNA W) provided the opportunity and resources to organize this 6th Social Dilemma Conference. Although the size of the conference stretched NIAS's facilities, the conference went smoothly thanks largely to the skill and diplomacy of the NlAS staff. Without them the conference could not have been successful nor would this book exist. We are deeply grateful to NIAS, KNA W, and to the many NIAS people who made this conference a success. Groningen , Evanston. March, 1996 Wim Liebrand and David Messick Contents Social Dilemmas: Individual, Collective, and Dynamic Perspectives. Liebrand, W.B.G., & Messick, D.M .......................... . 1 The Collective Perspective; Provision of Resources Collective Risk Generation and Risk Management: The Unexploited Potential of the Social Dilemmas Paradigm. Vlek, C.A.J. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 11 Attitudes toward Public Affairs in a Society in Transition. Grzelak, J., & Nejtardt, G. ................................ 39 Provision of Community Social Services: The Role of Distributive Fairness for Willingness to Pay. Biel, A., Eek D., & Garling, T. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 57 Concentration and Dispersion of Resources in Simulated Organizations Charac terized by Equal or Unequal Power Relations. Wilke, H., Dijk, E. van, Morel, K., Olde Monnikhof, M., & Zandvliet, M. 77 2 The Individual Perspective; Cooperation in Experimental Games Why do 'Cooperators' Cooperate?: Efficacy as a Moderator of Social Motive Effects. Kerr, N.£., & Harris, S.E. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 101 Tacit Coordination and Fairness Judgments in Social Dilemmas. Dijk, E. van & Wilke, H. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 117 Does Knowing the Jointly Rational Solution Make You Want to Pursue it? Motivational Orientation, Information, and Behavior in two Social Dilemmas. Foddy, M, & Veronese, D. ............................... 135 Reduction of Environmental Risk as a Public Good. Wilke, M, Rutte, e.G. & Bornstein, G. ......... . . . . . . . . . . . . .. 157 Hostage Posting as a Mechanism for Co-operation in the Prisoner's Dilemma Game. Mlicki, P.P. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 165 VIII The Effect of Threshold Level on Greed, Fear, and Cooperation in Step-level, Give-some and Take-some Dilemmas. Poppe, M, & Zwikker, M ................................ 185 Does "The Motivating Power of Loss" Exist? An Experimental Test of the Effect of Losses on Cooperation. Snijders, c., & Raub, W. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 205 3 The Dynamic Perspective; Computer Simulations of Micro-macro Dynamics Computer Simulation of Cooperative Decision Making. Liebrand, W.B.G., & Messick, D.M ......................... 215 Natural Selection and Social Learning in Prisoner's Dilemma: Co-adaptation with Genetic Algorithms and Artificial Neural Networks. Macy, M ........................................... 235 Foundations of Rational Interaction in Cognitive Agents: a Computational Approach. Conte, R. ........................................... 267 Computer Simulation of Social Value Orientation: Vitality, Satisfaction, and Emergent Game Structures. Joireman, J.A., Shelley, G.P., Teta, P.D., Wilding, J., & Kuhlman, D.M 289 The Generalized Exchange Perspective on the Evolution of Altruism. Takagi, E. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 311 Social Dilemmas in Lineland and Flatland. Hegselmann, R. ....................................... 337 Selective Play: Social Embeddedness of Social Dilemmas. Yamagishi, T., & Hayashi N. ......................... . . . .. 363 'Self-organizing' Friendship Networks. Stokman, F.N., & Zeggelink, E.P.H. ......................... 385 The Evolution of Cooperation in a Simulated Inter-group Conflict Suleiman, R., & Fisher,!. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 419 Social Dilemmas: Individual, Collective, and Dynamic Perspectives Wim B. G. Liebrandl and David M. Messick2 SWI, University of Groningen, NL-9712 TG Groningen, NL I Department of Organization Behavior, KGSM, Northwestern University, 2 Evanston, IL 60201, USA 1 Introduction Social dilemmas are complex situations in which we can choose what is in our own immediate best interest or what is in the best interest of our groups, which include ourselves as well as others. Finding solutions for social dilemmas consti tutes one of the most important challenges for the social and behavioral sciences. Social dilemmas are found everywhere; in both small and large social groups, in rural as well as urban settings, and in informal as well as formal organi zations. A real-life example is the temptation to over-harvest fish and other renewable resources. Each additional ton offish increases the fisherman's profits, but harms the collective fish stock, ultimately harming not only others but the fisherman himself. When all fishermen overharvest, the fishery may disappear as has happened with a number of species of fish. Everyone is worse off. Besides the overuse of vital resources, the underuse of behavior that would benefit the envi ronment qualifies as another natural example. If we all walked more and drove less, we would all breathe better air. Other examples are: nonpaying riders on public transportation systems, arms reduction, overpopUlation, and information hoarding. Social dilemmas are interpersonal and intergroup situations that are charac terized by an unfortunate pattern of incentives. The pattern is unfortunate because it tends to create highly unsatisfying outcomes for the participants--outcomes that are unsatisfying because all of the actors involved realize that each of them individually would have been much better off if everyone had behaved differently. The difficulty, however, is that the incentives to behave differently are not to be found in any short term perspective. The interest in social dilemmas is widespread throughout the social and behavioral sciences. That interest arose because of a focus, beginning more or less with World War II, on the study of decision making. Early models of decision making were built on the concept of the "rational person" or "dollar maximizer" who projected the consequences of the various possible actions available, estimated the probabilities of events not directly under personal control, and then maximized personal gain. 2 Although the model of the rational person is intuitively compelling and in some sense "should" be valid, it was immediately apparent that this model was a poor description of the actual behavior of both lay persons and decision "experts." In other words, people generally do not conform to the elegant but simple predic tions that these mathematically-derivedtheories of behavior made. Therefore, from the beginnings of the formal study of decision making, investigators - especially those from the social and behavioral sciences-have attempted to construct models that can better explain the actual behavior of decision makers. The "discovery" of social dilemmas (in the sense that they could be formally described) was of major importance in research on decision making because it provided a formal demonstration of the inadequacy of the rational model to accompany the empirical demonstration. In a social dilemma, a collection of rational actors arrive at outcomes which are inferior to ones they could have received if they had each been "irrational". Probably because of the combination of theoretical interest and real-world applica bility, social dilemmas have come to be a major research area within the fields of experimental social psychology, sociology, political science, economics, manage ment science, information science, and of course mathematics. More perhaps than most research fields, the study of social dilemmas always had an interdisciplinary flavor; conferences and edited volumes devoted to social dilemmas are character ized by contributions from many disciplines. This interdisciplinary field has been heavily dominated by game theory and the use of experimental games. By far the most renowned experimental game is the Prisoner's Dilemma Game, a proto typical social dilemma. The Prisoner's Dilemma Game is illustrated in Luce and Raiffa(1957, p. 95) with the following anecdote. Two suspects are taken into custody and separated. The district attorney is certain that they are guilty of a specific crime, but he does not have ade quate evidence to convict them at a trial. He points out to each prisoner, separately, that each of them has two alternatives: to confess to the crime the police are sure they have done, or not to confess. If they both do not confess, then the district attorney states he will book them on some very minor trumped-up charge such as petty larceny and illegal possession of a weapon, and they both will receive minor punishment; if they both confess they will be prosecuted, but he will recommend less than the most severe sentence; but if one confesses and the other does not, then the confessor will receive lenient treatment for turning state's evidence whereas the latter will get "the book" slapped at him. In terms of years in a penitentiary, the strategic problem might reduce to: 3 Table 1 The Prisoner's Dilemma. Prisoner B: Prisoner A: Not Confess Confess Not Confess I year each 10 years for A 1 month for B Confess 1 month for A 5 years each 10 years for B For each prisoner it is obvious that confessing is better than not confessing, regardless of what the other prisoner does. Hence it is in their own interest to confess. The dilemma emerges now: confessing is better for both, thus the ex pected outcome is 5 years imprisonment for both, but they could have gotten one year only by not confessing. The consequences associated with the four possible combination of choices are such that they result in the preference orderings depicted in Table 2. These prefer ence orderings represent those of the standard Prisoner's Dilemma Game as used in much empirical research. Table 2 Strict preference orderings for a Prisoner's Dilemma Game; (4) most preferred, (1) least preferred; the first number refers to the prefer ence for you, the second one refers to the preferences of the other player. Other: C Other: D You: C 3 , 3 1 , 4 You: D 4 , 1 2 , 2 In this situation, C stands for ' cooperation' and D for 'defection'. The D choice, that is the selfish act, dominates the C choice, the choice in the collective interest. No matter what choice is made by the other person, the chooser is better off making the D choice to C. However, a mutual D choice results in the second worst outcome cell for both persons whereas each could have got a better outcome by choosing C.