An Agent-Based Model of the Interaction Between Inequality, Trust, and Communication in Common Pool Experiments

Abstract

: An agent-based model is presented that aims to capture the involvement of inequality and trust in collective action in a classic commons dilemma before, during, and after communication. The model assumptions are based on the behavioral theory of collective action of Elinor Ostrom and the ‘humanistic rational choice theory’. The commons dilemma is represented as a spatially explicit renewable resource. Agent’s trust in others has an impact on the harvesting of shared resources, and trust is influenced by observed harvesting behavior and cheap talk. We calibrated the model using data from a prior set of lab experiments on inequality, trust, and communication. The best fit to the data consists of a population with a small share of altruistic and selfishagentsandamajorityofconditionalcooperativeagentssensitivetoinequalityandwhowouldcooperateifothersdid.Communicationincreasedtrustexplainingthebettergroupperformancewhencommunication wasintroduced.Themodelingresultscomplementpriorcommunicationresearchandclarifythedynamicsof reciprocalcooperationcommonlyobservedinrobustresourcegovernancesystems.