Consensual punishment does not promote cooperation in the six-person prisoner’s dilemma game with noisy public monitoring

Nynke Van Miltenburg
We study the effects of different punishment institutions on cooperation in a six-person prisoner’s dilemma game in which actors observe others’ cooperation with some noise (i.e. imperfect public monitoring). In the presence of noise, co-operators will sometimes be mistaken for defectors and punished, and defectors will sometimes be mistaken for co-operators and escape punishment. Both types of mistakes are detrimental for cooperation because cooperation is discouraged and defection is encouraged. By means of a laboratory...
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