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Emergence and Evolution of Cooperation for Survival: A Continuous Time Model

Coculescu, Delia; Lupascu Stamate, Oana; Visentin, Gabriele (2021). Emergence and Evolution of Cooperation for Survival: A Continuous Time Model. SSRN 1189182, University of Zurich.

Abstract

For a large homogeneous population, where individuals rely on the availability of a resource for survival, we introduce a continuous time model for the availability of the resource in time and for each individual. In this framework, cooperation is defined as a mutual insurance mechanism, aimed at covering shortages for group members. We explore essential questions regarding the importance of cooperation: what are the characteristics of populations where cooperation is valuable, versus individualist populations, where cooperation destroys value; how large should be the groups of cooperating entities? In order to answer the latter question, we first characterise the optimal cooperation, which maximises the expected lifetime of entities in the population. Secondly, we explore the same question using a non cooperative stochastic game. This allows to understand to what extent strategic cooperation leads to inefficiencies as compared with optimal cooperation. We complete the theoretical results by suggestive numerical approaches.

Additional indexing

Item Type:Working Paper
Communities & Collections:03 Faculty of Economics > Department of Finance
Dewey Decimal Classification:330 Economics
Scope:Discipline-based scholarship (basic research)
Language:English
Date:4 January 2021
Deposited On:26 Mar 2021 06:24
Last Modified:27 May 2024 15:23
Series Name:SSRN
Number of Pages:40
ISSN:1556-5068
OA Status:Green
Free access at:Publisher DOI. An embargo period may apply.
Publisher DOI:https://doi.org/10.2139/ssrn.1189182
Official URL:https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1189182
Other Identification Number:merlin-id:20940
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