Via Freedom to Coercion: The Emergence of Costly Punishment

In human societies, cooperative behavior in joint enterprises is often enforced through institutions that impose sanctions on defectors. Many experiments on so-called public goods games have shown that in the absence of such institutions, individuals are willing to punish defectors, even at a cost to themselves. Theoretical models confirm that social norms prescribing the punishment of uncooperative behavior are stable-once established, they prevent dissident minorities from spreading. But how can such costly punishing behavior gain a foothold in the population? A surprisingly simple model shows that if individuals have the option to stand aside and abstain from the joint endeavor, this paves the way for the…