Friend or Foe? A Natural Experiment of the Prisoner's Dilemma

26 Pages Posted: 20 Jul 2006 Last revised: 26 Dec 2022

See all articles by John A. List

John A. List

University of Chicago - Department of Economics

Date Written: March 2006

Abstract

This study examines data drawn from the game show Friend or Foe?, which is similar to the classic prisoner's dilemma tale: partnerships are endogenously determined, players work together to earn money, after which, they play a one-shot prisoner's dilemma game over large stakes: varying from $200 to (potentially) more than $22,000. If one were to conduct such an experiment in the laboratory, the cost to gather the data would be well over $350,000. The data reveal several interesting insights; perhaps most provocatively, they suggest that even though the game is played in front of an audience of millions of viewers, there is some evidence consistent with a model of discrimination. The observed patterns of social discrimination are unanticipated, however. For example, there is evidence consistent with the notion that certain populations have a general "distaste" for older participants.

Suggested Citation

List, John A., Friend or Foe? A Natural Experiment of the Prisoner's Dilemma (March 2006). NBER Working Paper No. w12097, Available at SSRN: https://ssrn.com/abstract=892122

John A. List (Contact Author)

University of Chicago - Department of Economics ( email )

1126 East 59th Street
Chicago, IL 60637
United States

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