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Cooperation Works if Majority Can Punish Freeloaders

plasmid writes: "Some Swiss economists ran an investment game... they found that if the majority could punish freeloaders, cooperation flourished. I think this has implications for cooperative peer-to-peer systems and, to a lesser extent, for open source development. I'm so inspired I plan to go out an punish someone right now, as a matter of fact." I had just read this article the other day (go memepool), so this Nature piece seems oddly apropos.

13 of 408 comments (clear)

  1. Re:Damn by Restil · · Score: 5, Insightful

    I know its funny, but this actually applies.

    Think about it. If you have one large server that everyone tries to download from without others participating, several problems emerge. First of all, you saturate the bandwidth on that connection. Secondly, with limited resources, it takes much longer for everyone to obtain what they're wanting. And when the server is located by authorities and shut down, a major resource is lost.

    Now, have everyone serve. Anyone looking for something can always find it, because its everywhere. They can always get it, because no one server is oversaturated, as the load is spread out. If one or even several servers get shut down, the effect is minimal. Everyone benefits when everyone cooperates and nobody is hit too harshly.

    Now we have another form of potential punishment in this case, not from those that participate, but from law enforcement. Law enforcement, unlike the traders, is more likely to go after those who DO participate, and the freeloaders will get off scott free.

    -Restil

    --
    Play with my webcams and lights here
  2. Funny they should say that by gnalre · · Score: 5, Funny

    Funny that Swiss Economists should come up with this conclusion.

    Swiss - Sit back and watch the rest of the world fight tyranny and just rake the money in wherever and however it was attained

    Economists - Earn money based on pseudo-science and predictions which are as reliable as those gained by examining chicken entrails.

    Therefore should'nt we just punish Swiss Economists

    --
    Choose your allies carefully, it is highly unlikely you will be held accountable for the actions of your enemies
    1. Re:Funny they should say that by SerpentMage · · Score: 5, Insightful

      I would be a bit careful with comments like that. Switzerland is not a country that harbors criminals nor do they "just take money". Also Lichtenstein is not part of Switzerland. It is an independent country. Lichtenstein and Switzerland are associated together because Lichtenstein does not want to create its own infrastructure for everything. Exactly same scenario like Monaco and France.

      Back to Switzerland. Let me put into terms that maybe you can understand (assuming you live in the US). In the US there is freedom of speech. That means I can say things like ni...r and be part of the KKK. Many countries do not accept this behavior, but the US defends it. And I agree with it as well. But freedom of speech is a double edge sword as showin in the KKK example since it is racist.

      In Switzerland privacy is very much like the US freedom of speech. This means everything is private and all personal information is strictly guarded. I like that as well because I do not want everyone to know what I do. However, the Swiss do not harbor criminals. Lets say if a drug lord did put his money in Switzerland. If another country can prove that the drug lord is a criminal then the Swiss will lock the accounts. But the Swiss will not simply lock the accounts on a "hunch" that the person is a criminal. Nor will they give out information "on a hunch". Privacy is treated like freedom of speech and like freedom of speech it is a double edged sword.

      --

      "You can't make a race horse of a pig"
      "No," said Samuel, "but you can make very fast pig"
  3. P2P and freeloaders... by dreamquick · · Score: 5, Insightful

    I seem to remember a statistic back in the old napster days that the majority of the people were freeloaders e.g. they just downloaded without offering anything themselves.

    Now if we apply this swiss theory to p2p applications you know what will happen?

    1) if the majority of the users are freeloaders then there is little chance that they are going to kick other freeloading users off the service

    2) assuming that only contributors to the community get a vote then they will be faced with a massive task of getting rid of the freeloaders

    3) once you lose all the freeloaders you are left with the people who adopted early and helped the service become massive, but you will have lost the majority of the userbase

    4) once a service gets a bad reputation it sticks, and since these services gain popularity through word of mouth rather than regular channels you lose a lot of the potential users

    5) lastly a particular p2p service may be good but there are a large number of services which are just as good and which wouldn't support this concept of co-operation.

    Just my 2c

  4. similar to Prisoner's dilemma non-zero sum game by qubezz · · Score: 5, Informative

    A similar set of ideals has been previously applied in psychological and darwinian non-zero sum games where there is a reduced personal gain but higher group gain from cooperation. These games challenge participants in finding an optimal outcome for both in cases where there are multiple iterations of choices to cooperate or 'defect' from cooperation - the website details only a new variant of these.

    One model is that of the cold war. If both countries cooperate in an arms reduction treaty, they both win some, but for the individual country, a win can be made if their competitor cooperates and they 'defect' and build more arsenal.

    This game has a matrix of possible points scored by each side depending on their individual choices.

    . . . . . coop . . defect
    coop . . . 3,3 . . 5,0
    defect . . 0,5 . . 1,1

    In the above situation, the two scores delimited by commas indicate the score for each country. If the countries both cooperate, each receives three points. However, if they disagree, one country will win, but the sum score is less. The interesting situation is if both defect - the value placed on these scores may also determine how the game is played through multiple iterations by two players.

    Another variant is the prisoner's dilemma game. Two criminals are captured, and the DA will cut one of them a deal if they squeal on the other. Of course, if both squeal on each other, both loose big. If both are quiet, they will get a lesser charge. The dilemma is that the best group outcome is that they will both fare better if they are both quiet, but they don't know what the other will do.

    The article listed is similar to this, but different that there is a cost involved in punishing the 'bad' player that doesn't pay into the investment pot. Here the game asks you to punish the uncooperative player with costs now, but the punishment might make them more likely to contribute in future rounds of the game. Interesting.

  5. Reminds me of an experiment by jeti · · Score: 5, Interesting

    People will pay to punish - suggesting that their
    notions of fairness outweigh selfish considerations.


    This quote reminds me of an experiment. It runs something like this: A group of people is divided into two groups of equal size. Then each group is asked this simple question: We will either give both groups $2 per person or we'll give each of you three bucks and each of them four bucks. What would you prefer?

    85% of the participants go for the two bucks.

  6. The functional principal of a working Anarchy by ArcSecond · · Score: 4, Insightful
    The research may hold lessons for policymakers attempting to build social cohesion, he believes. Decisions may be more acceptable if they come from within the community and not from a remote central government. "There could be more community-based policing, and more emphasis on shaming [criminals] and rehabilitation within the community," Gintis says.

    This is an example of what most elites have nightmares about... the "masses" deciding for themselves what to do, through concensus and free exchange of information. This is the horrible, to-be-avoided-at-all-costs thing that many refer to as "too much democracy". The key is this: it only works if those with an interest/stake both get a place at the table and the ability to punish people who waste their time with lies and greed.

    I'm convinced this kind of democratic, community-oriented "anarchy" could work at any scale. As long as everyone feels they are part of something meaningful, and that everyone else is taking it seriously, then you can actually get "competitors" to agree on strategies to maximize the Common Good.

    A major stumbling block has been the desire to "punish" criminals by sending them into isolation (or rather, creating isolated COMMUNITIES of criminals), instead of focusing on a more "healing" punishment which would require the community to confront, shame, and supervise the trangressors's rehabilitation.

    For example, look at the pyros in Australia. Doesn't it just sound right that they should walk through the destruction, meet their victims, and generally confronted the effects of their crimes? Is it really better to lock them away where they can learn how to hate society even more? How can they be accepted into society again if they aren't genuinely seeking to make reparations?

    Just like laughter--a social sanction against rigid codes of behaviour--punishment should bring people together. As weird as that sounds, everyone has to share in the duties of rewarding and punishing members of society: the only way to find a common good is to have everyone agree on it. Don't let anyone tell you that you should leave it to the "smarter/better" people to make this decision for everone else. What is best for those with privilege and power is not necessarily best for all.

    --

    I've got a bad attitude and karma to burn. Go ahead. Mod me down.

  7. Punishing all you slashdot lurkers by ukryule · · Score: 5, Funny

    So next time I get moderation priveledges, I'm going to mod down people who haven't posted anything :)

  8. censorware.org as a case study - SERIOUS by Seth+Finkelstein · · Score: 4, Troll
    [Let's see how long this article lasts with a positive score ...]

    I've been wrestling with the article's issue, on a game-theoretic level, for years. For example, many people simply do not understand what I say when I discuss the events and aftermath of
    What Happened To The Censorware Project (censorware.org)

    It's far deeper than ego or "personal", which are superficial reactions I get. In game-theory, the Prisoner's Dilemma teaches us that that individuals have an incentive to defect in terms of cooperative resources. Now, having said that, what then? What follows? How does one go about organizing a cooperative venture with this knowledge in mind?

    To quote the article:

    When penalties were allowed, the common good prevailed, and the investment by each group member climbed. "But if there's no opportunity for punishment, cooperation unravels," says Fehr, with investment declining rapidly.

    This is the exact argument I made passionately regarding the necessity of making there be some penalty for Michael Sims' actions in destroying censorware.org. It's the flip side of enlightened self-interest. Cooperation cannot be supported if someone can defect without penalty. But:

    In some games, players could then fine each other, but they had to pay a small sum for this.
    Indeed. It's not costless to create downsides. This makes it tempting to ignore their role in maintaining cooperation. They're unpleasant, to say the least.

    But what if it's nigh-impossible to have a penalty? This is an aspect where I think about "the power of journalism". As a programmer who has worked with journalists (many times unhappily), I'm acutely aware that as a general rule, journalists can harm me with manipulated coverage, much more than I can punish them via semi-futile protests about their actions. This is in fact my number-one publicity worry about anti-censorware work and how I'd ever get covered nowadays in Slashdot if I ever were to be sued like Dmitry Sklyarov.

    So in the end, I don't have a solution. But the implications of this problem are NOT abstract, in fact are very immediate.

  9. Basic economics theory - the lighthouse by mccalli · · Score: 5, Interesting
    This is basic economics, as taught to me in my economics 'A'-Level at college in 1990. The example always given is that of a lighthouse.

    A lighthouse is for the common good, but can't exist without being charged for. However, due to its nature (it just emits light), you cannot deny service to those who don't pay - they'll see light regardless of whether they've contributed.

    The dilemma is - as a ship owner, you have no incentive to pay for upkeep as the service is delivered to you anyway. This works right up until the moment the lighthouse has to close, at which point it becomes in your best interest to ensure everyone pays. Note that - everyone, not just you. If only you pay, you're still at a disadvantage.

    Can't remember the exact terminology they used - I think it's a form of 'free good', but I'm prepared to be corrected on that. Why these researchers felt the need to reprove a very old and established theory is beyond me.

    Cheers,
    Ian

    PS: 'A'-Levels - the exams in the UK taken when you're about 18.

  10. Or why not just d/l the relevant bit as pdf... by Anonymous Coward · · Score: 4, Informative

    http://www-personal.umich.edu/~axe/research/Evolvi ng.pdf

  11. a bit more subtle than that... by renard · · Score: 5, Interesting
    I believe the actual research described is somewhat more subtle than your characterization.

    Punishment is a purely selfish strategy: spend money punishing someone, so they will invest more, so your profits increase.

    Incorrect - In the actual experiment, if you chose to punish a `freeloader' then you paid out of your own profits, and no one else's. The games were not iterated (played repeatedly with the same cast of players), so any consequent change in the freeloader's behavior would not be to your benefit. Perhaps on the next time around, the freeloader would have a change of heart, but even if s/he did this was not likely to be to your own benefit.

    Thus in the context of the game, choosing to punish was a very counter-selfish act - not selfish at all, but quite the opposite. That's what makes the research so interesting.

    -Renard

  12. Privacy & the Swiss constitution by Belly+of+the+Beast · · Score: 4, Informative

    Art. 13 Right to Privacy
    1 All persons have the right to receive respect for their private and family life, home, and secrecy
    of the mails and telecommunications.
    2 All persons have the right to be protected against the abuse of personal data.

    http://www.eda.admin.ch/washington_emb/e/home/le ga ff/swilaw/fconst.html

    -s