Markets and cooperation

Arbeitspapier

Why do money and markets crowd out co-operative relations? This paper characterises the effects of intertemporal preferences, money, and markets on players' ability to co-operate in material-payoff supergames. Players' aversion to intertemporal substitution facilitates co-operation by decreasing their evaluation of short-run gains from deviations and increasing that of losses from punishments. Goods' markets and money may hinder co-operation by allowing players to reallocate short-run gains from deviations in time, at some cost. Allowing for free intertemporal reallocation of payoffs, perfect financial markets always make co-operation harder. Financial markets' imperfections facilitate co-operation by opposing this effect.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: Nota di Lavoro ; No. 100.1999

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Noncooperative Games ; Exchange and Production Economies ; Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
• Thema: Co-operation ; repeated games ; Prisoner's dilemma ; commons ; reciprocal exchange ; implicit contracts ; collusion ; institutions ; Marktmechanismus ; Kooperation ; Spieltheorie ; Finanzmarkt ; Theorie

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Spagnolo, Giancarlo
• Ereignis: Veröffentlichung
• (wer): Fondazione Eni Enrico Mattei (FEEM)
• (wo): Milano
• (wann): 1999

Weitere Informationen

• Handle: http://hdl.handle.net/10419/155053
• Letzte Aktualisierung: 10.03.2025, 11:45 MEZ