Cooperate Or Specialize?

Futurists sometimes get excited about new ways to encourage cooperation in Prisoner’s Dilmena like games. For example, future folks might interact via quantum games, future AIs might show each other their source code, or future clans of em copies might super-cooperate with one another. Folks who know just enough economics to be dangerous sometimes say that this “changes everything”, i.e., that future economies will be completely different as a result. In fact, however, not only do we already have lots decent ways to encourage cooperation, such as talking and reputation, we also consistently forgo such ways to better encourage flexibility and specialization.

As I reviewed in my last post, we have strong reasons and abilities to cooperate within family clans, especially when such clans heavily intermarry and live and work closely together over many generations. And our farming era ancestors took big advantage of this. To function and thrive, however, our industry era economy had to suppress such clans, to allow more flexibility and specialization. Industry needs people to frequently change where they live, what kinds of jobs they do, and who they work with, and to play fair within industry-era reimagined firms, cities, and nations. Strong family clans instead encouraged stability and nepotism, and discouraged people from moving to cities and new jobs, and from cooperating fairly with and showing sufficient loyalty to other families within shared firms, cities, and nations.

Our industry era institutions consistently forgo the extra cooperation advantages of strong family clans, to gain more flexibility and specialization. This is now a huge net win. Our descendants are likely to similarly forgo advantages from new ways to cooperate, if those similarly reduce future flexibility and specialization. For example, future societies of brain emulations are likely to be wary of strongly self-cooperating clans of copies of the same original human. While such copy clans have even stronger reasons to cooperate with each other than family clans, copy clans might cause future organizations to suffer even more than do family-based firms, cities, and nations today from clan-based nepotism, and from low quality and inflexible matches of skills to jobs. Ems firms and cities are thus likely to be especially watchful for clan nepotism, and to avoid relying too heavily on any one clan.

Yes game theory captures important truths about human behavior, including about costs we pay from failing to fully cooperate. But prisoner’s dilemma style failures to cooperate in simple games comprises only a tiny fraction of all the important things that can and do go wrong in a modern economy. And we already have many decent ways to encourage cooperation. I thus conclude that future economies are unlikely to be heavily redesigned to take advantage of new possible ways to encourage prisoner’s dilemma style cooperation.

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