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Multigame contact and cooperation

Author

Listed:
  • Montez, João
  • Laferrière, Vincent
  • Thoeni, Christian
  • Roux, Catherine

Abstract

Many strategic situations involve players repeatedly interacting across multiple games. While there is an extensive experimental literature on the determinants of cooperation in indefinitely repeated games, there is no evidence on how multigame contact affects behavior in these games. In theory, multigame contact should foster cooperation by improving players' ability to punish. We study the effect of multigame contact on cooperation in two preregistered laboratory experiments, where the main treatment consists of subjects playing a pair of indefinitely repeated prisoner's dilemmas with either the same partner or with different partners, i.e., respectively with and without multigame contact. In contrast to the theoretical predictions, we find no evidence that multigame contact increases average cooperation rates. Yet, and now in line with theory, we observe that multigame contact has systematic effects on behavior: subjects often link the strategies in the two games when they play with the same partner. Such linkage turns out to be a double-edged sword: while it helps subjects reaching cooperation in both games, it makes cooperation in only one of the games less likely.

Suggested Citation

  • Montez, João & Laferrière, Vincent & Thoeni, Christian & Roux, Catherine, 2021. "Multigame contact and cooperation," CEPR Discussion Papers 16349, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:16349
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    More about this item

    Keywords

    Cooperation; Repeated games; Prisoner’s dilemma; Multigame contact; Experiment;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • L41 - Industrial Organization - - Antitrust Issues and Policies - - - Monopolization; Horizontal Anticompetitive Practices

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