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With God We Trust: Religion, Trust and Cooperation in Large-Scale Societies

Author

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  • Julien Gagnon

Abstract

The first aim of this paper is to revisit the puzzle of cooperation in large-scale societies.It proposes a game theoretic model showing how endogenous emotion-based punishment can sustain ull cooperation when interactions are not repeated, provided that players' endogenous trust is high enough. The model the signalling theory of religion. Finally, the model enables clear and tractable predictions about the levels of religious affiliation and participation within a society. Evidence of the model's implications is discussed.

Suggested Citation

  • Julien Gagnon, 2014. "With God We Trust: Religion, Trust and Cooperation in Large-Scale Societies," Cambridge Working Papers in Economics 1406, Faculty of Economics, University of Cambridge.
  • Handle: RePEc:cam:camdae:1406
    Note: jg653
    as

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    File URL: http://www.econ.cam.ac.uk/research-files/repec/cam/pdf/cwpe1406.pdf
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    Citations

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    Cited by:

    1. Sriya Iyer, 2016. "The New Economics of Religion," Journal of Economic Literature, American Economic Association, vol. 54(2), pages 395-441, June.
    2. Kirk, H., 2019. "Cooperation and Creed: An Experimental Study of Religious Affiliation in Strategic and Societal Interactions," Cambridge Working Papers in Economics 1995, Faculty of Economics, University of Cambridge.

    More about this item

    Keywords

    Cooperation; Emotions; Psychological Game Theory; Punishment; Religion; Trust.;
    All these keywords.

    JEL classification:

    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • Z12 - Other Special Topics - - Cultural Economics - - - Religion

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