[hmkpoker]

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The human reaction, though, is exactly what we expect, because there is a selective advantage to fairness, because in the real world (the economic world)these "games" are almost never single. Almost all economic interactions are "iterated"; hence there is a selective advantage to holding out for "fairness", even if the individual doesn't consciously realize it. This is NOT in conflict with any economic analysis. Essentially, what I'm saying is that the "sense of righteous indignation at unfairness" acts to lower the individual's time preference.

This: "Our ancestors were better at surviving if they were bloody-minded." is particularly stupid. The article is making the point that it is precisely the fair, and those that hold out for fairness that are better at surviving, not the "bloody-minded."


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This is true, but note that fairness is not useful in the modern (capitalist) world. Evolution took us through eons of savage hobbesian anarchy, and took the priviledged few species to anarcho-socialism, where animals usually had enough resources to fit immediate needs, and were better off with the "I'll scratch your back if you scratch mine" mentality. For small tribes, this is excellent.

However, when we took the great leap forward, we established a system that is very counter-intuitive. The concept of private property is unappealing when you are starving and someone else has a bounty of food; while it seems unfair, it is the threat of punishment that prevents the starving man from stealing. While private property rights coupled with the threat of punishment for aggressors was the best productivity incentivizer ever, we're still left with evolutionary baggage that makes it seem exploitative and wrong.

This isn't the only case where evolution screws us. When the well-being of an animal is threatened (often by the presence of a predator), it will biologically trigger an autonomic response: heart and lungs will accelerate, muscular nutrients are secreted, digestion is inhibited, spatial awareness is increased, and prefrontal activity is inhibited. The reason is that it is advantageous for the animal to be prepared for a situation where he is going to either kill something or run like hell. That's very important in the animal world, but in the modern world it can be a liability. A dangerous operation will naturally have the same effect on a doctor, however, being primed to run or kill with a scalpel in his hand is very disadvantageous. Human beings who are less affected by the autonomous nervous system are much more ideal for high-stress white-collar positions, as they are able to be logical or diplomatic under pressure. (Hence, why personality is so important for many employers; risk-taking preference is much more demonstrable in personality than in IQ tests)

So with all this evolutionary baggage, human beings are left intuitively judging fairness to be right, even in large economic systems where it is simply not practical. That's why people are so naturally inclined toward socialism and hating the rich.