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Social learning increases the acceptance and the efficiency of punishment institutions in social dilemmas

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  • Gürerk, Özgür

Abstract

Endogenously chosen punishment institutions perform well in increasing contributions and long-term payoffs in social dilemma situations. However, they suffer from (a) initial reluctance of subjects to join the punishment institution and (b) initial efficiency losses due to frequent punishment. Here, we investigate the effects of social learning on the acceptence and the efficiency of a peer punishment institution in a community choice experiment. Subjects choose between communities with and without the possibility to punish peers before interacting in a repeated social dilemma situation. We find that providing participants with a social history - presenting the main results of an identical previous experiment conducted with dierent subjects - decreases the initial reluctance towards the punishment institution signicantly. Moreover, with social history, cooperative groups reach the social optimum more rapidly and there is lower efficiency loss due to reduced punishment. Our findings shed light on the importance of social learning for the acceptance of seemingly unpopular but socially desirable mechanisms.

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  • Gürerk, Özgür, 2010. "Social learning increases the acceptance and the efficiency of punishment institutions in social dilemmas," MPRA Paper 27357, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:27357
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    Cited by:

    1. Yang, Xiaojun & Nie, Zihan & Qiu, Jianying & Tu, Qin, 2020. "Institutional preferences, social preferences and cooperation: Evidence from a lab-in-the-field experiment in rural China," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 87(C).
    2. Molho, Catherine & Peña, Jorge & Singh, Manvir & Derex, Maxime, 2024. "Do institutions evolve like material technologies?," TSE Working Papers 24-1543, Toulouse School of Economics (TSE).
    3. Astrid Dannenberg & Carlo Gallier, 2020. "The choice of institutions to solve cooperation problems: a survey of experimental research," Experimental Economics, Springer;Economic Science Association, vol. 23(3), pages 716-749, September.
    4. Guido, Andrea & Robbett, Andrea & Romaniuc, Rustam, 2019. "Group formation and cooperation in social dilemmas: A survey and meta-analytic evidence," Journal of Economic Behavior & Organization, Elsevier, vol. 159(C), pages 192-209.
    5. Pascal Langenbach & Franziska Tausch, 2019. "Inherited Institutions: Cooperation in the Light of Democratic Legitimacy," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 35(2), pages 364-393.
    6. Anastasia Danilov & Dirk Sliwka, 2017. "Can Contracts Signal Social Norms? Experimental Evidence," Management Science, INFORMS, vol. 63(2), pages 459-476, February.
    7. Anabela Botelho & Glenn W. Harrison & Lígia M. Costa Pinto & Don Ross & Elisabet E. Rutström, 2022. "Endogenous choice of institutional punishment mechanisms to promote social cooperation," Public Choice, Springer, vol. 191(3), pages 309-335, June.
    8. Dannenberg, Astrid & Gallier, Carlo, 2019. "The choice of institutions to solve cooperation problems: A survey of experimental research," ZEW Discussion Papers 19-021, ZEW - Leibniz Centre for European Economic Research.
    9. Sun, Huojun & Bigoni, Maria, 2018. "A fine rule from a brutish world? An experiment on endogenous punishment institution and trust," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 77(C), pages 158-169.
    10. Astrid Dannenberg & Carlo Gallier, 2019. "The Choice of Institutions to Solve Cooperation Problems: A Survey of Experimental Research," MAGKS Papers on Economics 201911, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    11. Gallier, Carlo, 2020. "Democracy and compliance in public goods games," European Economic Review, Elsevier, vol. 121(C).
    12. Bühren, Christoph & Dannenberg, Astrid, 2021. "The demand for punishment to promote cooperation among like-minded people," European Economic Review, Elsevier, vol. 138(C).
    13. Gürdal, Mehmet Y. & Gürerk, Özgür & Yahşi, Mustafa, 2021. "Culture and prevalence of sanctioning institutions," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 92(C).

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    More about this item

    Keywords

    Social dilemmas; Social history; Social learning; Community choice; Punishment; Institution choice;
    All these keywords.

    JEL classification:

    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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