The formation and development of social organizations: A game theoretic approach

The formation and development of social organizations: A game theoretic approach

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Article ID: iaor19961003
Country: Japan
Volume: 45
Issue: 3
Start Page Number: 328
End Page Number: 247
Publication Date: Jul 1994
Journal: Economic Review
Authors:
Keywords: organization, economics, social
Abstract:

The paper considers how people voluntarily form organizations for their private benefit in the society described as an n-person prisoners’ dilemma and how the society is developed together with organizations. Among several characteristics of an organization, it focuses on the enforcement system for collective actions of its members. By presenting a game theoretic model of an organization with the enforcement agency, the paper derives conditions for the organization to be formed in the society. It also analyzes dynamic interaction of social development and the organization, and show four basic patterns of social development. [In Japanese.]

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