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This paper investigates a novel behavioral feature of recursive preferences: aversion to risks that persist over time, or simply \textit{correlation aversion}. Greater persistence provides information about future consumption but reduces…

Theoretical Economics · Economics 2026-03-24 Lorenzo Maria Stanca

The orderly behaviors observed in large-scale groups, such as fish schooling and the organized movement of crowds, are both ubiquitous and essential for the survival and stability of these systems. Understanding how such complex collective…

Physics and Society · Physics 2025-10-28 Yu Xia , Alex McAvoy , Qi Su

The decisions that human beings make to allocate time has significant bearing on economic output and to the sustenance of social networks. The time allocation problem motivates our formal analysis of the resource allocation game, where…

Computer Science and Game Theory · Computer Science 2018-08-28 Wei-Chun Lee , Vasilis Livanos , Ruta Mehta , Hari Sundaram

'Rich get richer' rule comforts previously often chosen actions. What is happening to the evolution of individual inclinations to choose an action when agents do interact ? Interaction tends to homogenize while each individual dynamics…

Probability · Mathematics 2020-08-05 Irene Crimaldi , Pierre-Yves Louis , Ida Germana Minelli

Understanding cooperative behavior in biological and social systems constitutes a scientific challenge, being the object of intense research over the past decades. Many mechanisms have been proposed to explain the presence and persistence…

Physics and Society · Physics 2022-08-24 Hugo Perez-Martinez , Carlos Gracia-Lazaro , Fabio Dercole , Yamir Moreno

An epidemic spreading in a network calls for a decision on the part of the network members: They should decide whether to protect themselves or not. Their decision depends on the trade-off between their perceived risk of being infected and…

Systems and Control · Computer Science 2015-03-17 George Theodorakopoulos , Jean-Yves Le Boudec , John S. Baras

Cooperation and competition between human players in repeated microeconomic games offer a powerful window onto social phenomena such as the establishment, breakdown and repair of trust. This offers the prospect of particular insight into…

Neurons and Cognition · Quantitative Biology 2018-07-04 Andreas Hula , Iris Vilares , Peter Dayan , P. Read Montague

Coordination games are important to explain efficient and desirable social behavior. Here we study these games by extensive numerical simulation on networked social structures using an evolutionary approach. We show that local network…

Physics and Society · Physics 2010-11-24 Marco Tomassini , Enea Pestelacci

Many biological, psychological and economic experiments have been designed where an organism or individual must choose between two options that have the same expected reward but differ in the variance of reward received. In this way,…

Quantitative Methods · Quantitative Biology 2018-09-20 Jared M. Field , Michael B. Bonsall

We study the interaction between strategy, heterogeneity and growth in a two-agent model of capital accumulation. Preferences are represented by recursive utility functions with decreasing marginal impatience. The stationary equilibria of…

Optimization and Control · Mathematics 2016-08-26 Luis Alcala , Fernando Tohme , Carlos Dabus

We study consumption behaviour in systems with heterogeneous interacting agents. Two different models are introduced, respectively with long and short range interactions among agents. At any time step an agent decides whether or not to…

Statistical Mechanics · Physics 2008-12-02 Giulia Iori , Vassilis Koulovassilopoulos

The pursuit of highest payoffs in evolutionary social dilemmas is risky and sometimes inferior to conformity. Choosing the most common strategy within the interaction range is safer because it ensures that the payoff of an individual will…

Physics and Society · Physics 2014-12-23 Attila Szolnoki , Matjaz Perc

We develop a framework for interacting with uncertain environments in reinforcement learning (RL) by leveraging preferences in the form of utility functions. We claim that there is value in considering different risk measures during…

Machine Learning · Computer Science 2021-02-23 Hannes Eriksson , Christos Dimitrakakis

Decision-making individuals often imitate their highest-earning fellows rather than optimize their own utilities, due to bounded rationality and incomplete information. Perpetual fluctuations between decisions have been reported as the…

Systems and Control · Electrical Eng. & Systems 2023-02-16 Yiheng Fu , Pouria Ramazi

Coordination games have been of interest to game theorists, economists, and ecologists for many years to study such problems as the emergence of local conventions and the evolution of cooperative behavior. Approaches for understanding the…

Computer Science and Game Theory · Computer Science 2025-07-09 John S. McAlister , Nina H. Fefferman

Human society and natural environment form a complex giant ecosystem, where human activities not only lead to the change of environmental states, but also react to them. By using collective-risk social dilemma game, some studies have…

Physics and Society · Physics 2024-04-24 Linjie Liu , Xiaojie Chen , Attila Szolnoki

We study noncooperative games, in which each player's objective is composed of a sequence of ordered- and potentially conflicting-preferences. Problems of this type naturally model a wide variety of scenarios: for example, drivers at a busy…

Computer Science and Game Theory · Computer Science 2025-07-08 Dong Ho Lee , Lasse Peters , David Fridovich-Keil

We consider thin incomplete financial markets, where traders with heterogeneous preferences and risk exposures have motive to behave strategically regarding the demand schedules they submit, thereby impacting prices and allocations. We…

Mathematical Finance · Quantitative Finance 2018-06-22 Michail Anthropelos , Constantinos Kardaras , Georgios Vichos

The evolution of preferences that account for other agents' fitness, or other-regarding preferences, has been modeled with the "indirect approach" to evolutionary game theory. Under the indirect evolutionary approach, agents make decisions…

Computer Science and Game Theory · Computer Science 2023-01-20 Anthony DiGiovanni , Nicolas Macé , Jesse Clifton

In many social dilemmas, individuals tend to generate a situation with low payoffs instead of a system optimum ("tragedy of the commons"). Is the routing of traffic a similar problem? In order to address this question, we present…

Physics and Society · Physics 2007-05-23 Dirk Helbing , Martin Schonhof , Hans-Ulrich Stark , Janusz A. Holyst