Eugenio Proto, Aldo Rustichini, Andis Sofianos
A large part of social interaction occurs among very different individuals. Characteristics such as trust, altruism, and intelligence can have important effects on strategic behaviour. This column studies how interactions between groups with different cognitive skill levels affect cooperation. Using an indefinitely repeated Prisoner’s Dilemma game, it finds that integrating players with different abilities leads to higher cooperation rates and higher aggregate payoffs than when they play separately. This is related to the strategy implementation of high-skill players, who are shown to be less lenient in integrated groups.
https://voxeu.org/article/cooperation-among-people-different-cognitive-skill-levels