Repeated Interactions

Game Theory · Axiom Academy

Discover how playing the same game multiple times can completely change the rules of strategic behavior. First, let's explore the classic Prisoner's Dilemma. In a one-shot game , you meet once, play once, and never interact again. Choose a strategy below and see what happens when both players think only about this single interaction. Now imagine the same game, but you'll face the same opponent multiple times. Use the slider to see how the number of future rounds changes the strategic landscape. Notice how your thinking shifts when you know you'll meet again. Now you'll play a 10-round Prisoner's Dilemma against a computer opponent using the Tit-for-Tat strategy (it cooperates first, then copies your previous move). Try different approaches and watch how cooperation can emerge! Repeated game theory explains cooperation in many real-world settings. Explore these examples to see how the principles you've discovered apply beyond the classroom. When the same game is played multiple times, players must consider not just immediate payoffs but the long-term consequences of their actions. The "shadow of the future" makes cooperation rational. Repeated games introduce powerful concepts: reputation (build trust over time), retaliation (punish defection), and forgiveness (restore cooperation). These tools don't exist in one-shot games.

This is the written version of the interactive lesson above. See the full Game Theory course.