This is a study for explaining intermediate in repeated game. The paper explores a model of contract governance in large-group interactions by profit-maximizing private intermediation. In conclusion, it says four things:
Under self-government, the choice between honesty and cheating for each side is similar and produces different outcome. And scope for one-sided or two-sided private for-profit government.
A better public information can locally increase rather than lower the intermediary’s profit.
Punishment is better than information in terms of profitanbility.
Profitable intermediation is contested by monopoly.
Q How it set the strategy?
Q What is “And scope for one-sided or two-sided private for-profit government.”?
Q Is this summary right?
No comments:
Post a Comment