ABSTRACT
This chapter investigates how to model and study the cooperative aspects between any two entities whose interaction satisfies the requirements of the well-known game theoretic interaction model of the Prisoner’s Dilemma. The Prisoner’s Dilemma is an important model because it models the interaction between two seemingly antagonistic entities luring them into cooperative behavior in the repetitive version of the game, even though in the one-shot game this does not appear as the most profitable choice for the involved players. However, even in the one-shot game, mutual cooperation is the most socially efficient choice, since it pays more than mutual defection, which, as we will later show, is the Nash Equilibrium for the one-shot game.
