Entanglement renders free riding redundant in the thermodynamic limit

TL;DR

This paper demonstrates that quantum entanglement can inherently resolve the free rider problem in large systems by establishing quantum strategies as the equilibrium, eliminating the need for punitive measures.

Contribution

It introduces quantum strategies into the free rider problem and shows that maximum entanglement guarantees a quantum equilibrium, solving the issue in the thermodynamic limit.

Findings

Quantum strategies become the equilibrium at maximum entanglement.

Entanglement effectively resolves free riding without punishment.

The approach draws an analogy with the 1D Ising model.

Abstract

The free rider problem is one of the most well-studied problems in economics. The solution proposed mainly is punitive in order to deter people from free riding. In this work, we introduce quantum strategies and study the problem in the thermodynamic limit by drawing analogies with the 1D Ising model. We observe that for maximum entanglement, irrespective of the payoffs, quantum strategy is the equilibrium solution, solving the free rider problem.