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This paper addresses the problem of utility maximization under uncertain parameters. In contrast with the classical approach, where the parameters of the model evolve freely within a given range, we constrain them via a penalty function. We show that this robust optimization process can be...
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We examine the effect of payoff variations on cooperation in one-shot prisoner's dilemma games. We focus on three … impact on cooperation. Temptation directly deters cooperation and indirectly harms cooperation by lowering beliefs about the … opponent's cooperativeness. Efficiency indirectly affects cooperation through beliefs, but the magnitude of the effect is …
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