Bahel, Ball, Sarangi – Summer Scholars 2016

Dr. Eric Bahel thumbnailDr. Sheryl Ball thumbnailDr. Sudipta Sarangi thumbnail

 Congratulations to Dr. Eric Bahel (PI), Dr. Sheryl Ball and Dr. Sudipta Sarangi, whose research project on strategic lying and cooperation has received a Summer Scholars Award from the Institute for Society, Culture and Environment. It is well established in economic theory that cooperation often leads to efficient outcomes. However, self-interested agents typically fail to cooperate, which generates inefficient outcomes. This lack of cooperation is illustrated by well-known economic terms such as ‘the tragedy of the commons’. Their project examines a way of increasing cooperation between self-interested agents by combining pre-play communication and the proven notion that some agents are averse to deception or inequality; and they show that the standard result predicating non-cooperation is reversed. The project also includes an experimental component allowing to test the theoretical results. Applications relate to trade negotiations, conflict resolution, resource (mis)use, waste recycling, etc.