09:20 - 11:00
Location: 224 - Floor 1
Chair/s:
Irene Mussio
Charles Efferson - Arbitrary Cooperation
Doruk Iris - Normative Expectations of Reciprocal Negotiators
Joris Schröder - Cooperating Beyond Group Boundaries: Behavioural Principles and Interventions
Irene Mussio - Finding collaborative solutions to address water shortages in farming areas in the Mekong Delta: a behavioural approach
Rati Mekvabishvili - Intelligence and the Dynamics of Free Riding in Public Good Experiments
Submission 47
Normative Expectations of Reciprocal Negotiators
panel.4-224 - Floor 1-02
Presented by: Doruk Iris
Doruk Iris
Sogang University
This paper develops a theoretical framework to examine how normative expectations--what one considers others should do based on their fairness perceptions--in shaping the behavior of players with reciprocal preferences in a public goods game. Standard reciprocity models typically assumes uniform, exogenously determined, and moderate expectations. By contrast, I allow players to (i) vary in how demanding they are of others, (ii) disagree about what counts as fair, and (iii) form self-centered normative expectations endogenously. In noncooperative play, strong reciprocal concerns transform the payoff structure from a material payoff dilemma into a coordination game in utilities but not always. In coalition formation, three central results emerge: (i) the empty coalition is always stable, (ii) the grand coalition becomes stable once reciprocal concerns are sufficiently strong, and (iii) partial coalitions can be stable under specific conditions. Exogenous expectations create distinct effects on cooperation: lower expectations facilitate the stability of the grand coalition, whereas higher expectations increase the size of partial coalitions, potentially leading to a majority coalition. This latter finding is more consistent with empirical observation.