Cooperation in an unpredictable environment

A framework for studying the evolution of cooperative behaviour in a random environment, using evolution of finite state strategies, is presented. The interaction between agents is modelled by a repeated game with random observable payoffs. The agents are thus faced with a more complex situation, compared to the Prisoner's Dilemma that has been widely used for investigating the conditions for cooperation in evolving populations (Matsuo 1985; Axelrod 1987; Miller 1989; Lindgren 1992; Ikegami 1994; Lindgren & Nordahl 1994; Lindgren 1997). Still, there are robust cooperating strategies that usually evolve in a population of agents. In the cooperative mode, these strategies selects an action that allows for maximizing the payoff sum of both players in each round, regardless of the own payoff. Two such players maximize the expected total long-term pay-off. If the opponent deviates from this scheme, the strategy invokes a punishment action, which aims to lower the opponent's score for the rest of the (possibly infinitely) repeated game. The introduction of mistakes to the game actually pushes evolution towards more cooperative strategies even though the game becomes more difficult.

[1]  P. Taylor,et al.  Evolutionarily Stable Strategies and Game Dynamics , 1978 .

[2]  W. Hamilton,et al.  The evolution of cooperation. , 1984, Science.

[3]  P. Molander The Optimal Level of Generosity in a Selfish, Uncertain Environment , 1985 .

[4]  R. Boyd,et al.  No pure strategy is evolutionarily stable in the repeated Prisoner's Dilemma game , 1987, Nature.

[5]  W. Arthur,et al.  The Economy as an Evolving Complex System II , 1988 .

[6]  R. Boyd Mistakes allow evolutionary stability in the repeated prisoner's dilemma game. , 1989, Journal of theoretical biology.

[7]  Drew Fudenberg,et al.  Game theory (3. pr.) , 1991 .

[8]  M. Nowak,et al.  Evolutionary games and spatial chaos , 1992, Nature.

[9]  Kristian Lindgren,et al.  Evolutionary phenomena in simple dynamics , 1992 .

[10]  Takashi Ikegami,et al.  From genetic evolution to emergence of game strategies , 1994 .

[11]  K. Lindgren,et al.  Evolutionary dynamics of spatial games , 1994 .

[12]  Eörs Szathmáry,et al.  The Major Transitions in Evolution , 1997 .

[13]  P. Dutta A Folk Theorem for Stochastic Games , 1995 .

[14]  R. Axelrod,et al.  How to Cope with Noise in the Iterated Prisoner's Dilemma , 1995 .

[15]  Martin A. Nowak,et al.  Automata, repeated games and noise , 1995 .

[16]  Mark D. Smucker,et al.  Iterated Prisoner's Dilemma with Choice and Refusal of Partners: Evolutionary Results , 1995, ECAL.

[17]  M. Hauser The Evolution of Communication , 1996 .

[18]  Kristian Lindgren,et al.  Evolutionary dynamics in game-theoretic models , 1996 .

[19]  E. Fehr,et al.  Cooperation and Punishment in Public Goods Experiments , 1999, SSRN Electronic Journal.

[20]  E. Fehr,et al.  Fairness and Retaliation: The Economics of Reciprocity , 2000, SSRN Electronic Journal.

[21]  Robert Axelrod,et al.  The Evolution of Strategies in the Iterated Prisoner's Dilemma , 2001 .

[22]  E. Fehr,et al.  Altruistic punishment in humans , 2002, Nature.