Distribute towels
Questions
1. Think about the news over the past couple weeks. Identify two events that are social dilemmas and explain what makes them social dilemmas.
2. Consider a repeated prisoners’ dilemma game with a finite number of rounds.
If we assume that all parties are narrowly rational, and that they know which is the last period, why would we predict no cooperation during the whole game? Answer in a sentence.
Why, in practice, might parties not behave this way? Answer in ≈30 words.
In the Evolution of Trust prisoner’s dilemma game that you played, the copycat or tit-for-tat strategy won. In what sense, exactly, did it win? Answer in a sentence.
How robust was this finding? Are there situations where this strategy is too nice? Too provocative? Too forgiving? Answer in ≈30 words.
3. The inherent negativity in political campaigns is often described as a classic prisoner’s dilemma.
Write down a payoff matrix that shows the choice between positive and negative campaigning as a prisoner’s dilemma.
Give a recent real-life example of a negative campaign prisoner’s dilemma. Answer in ≈30 words.
4. After Hurricane Maria, hundreds of nonprofit organizations streamed to Puerto Rico and other Caribbean islands to provide disaster relief. Research has found that coordination between nonprofits during disasters is difficult to maintain—it’s easy for individual nonprofits to fundraise and pursue programming on their own while ignoring other organizations working on the same issues. Additionally, there are incentives to do projects that are cheap and have fast turnaround, since donors respond to the visibility of organizations providing disaster relief.
Consider two nonprofit organizations working in Puerto Rico. Together, they could spend time coordinating their efforts and run a shelter for hurricane victims, providing each organization with 100 utils. Alternatively, they could individually distribute paper towels—a simple, low-cost, fast, and visible project—and receive 5 utils.
This situation can be modeled with the following payoff matrix:
Nonprofit 2
Run Shelter Distribute towels
Nonprofit 1 Run Shelter 100,100. 0,5
Distribute towels 5,0 5,5
What are the consequences of this kind of interaction? What will the two organizations naturally tend to do? Why? (i.e. what are the equilibria?) Answer in ≈30 words.
What kind of game is this? Why? Can cooperation be ensured? How? Answer in ≈20 words.