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In a series of experimental studies we have found that intergroup, compared to interindividual behavior, is more competitive and less cooperative (the discontinuity effect). After discussing the generality of this phenomenon, the possible mechanisms mediating the effect are analyzed. The role of fear and greed, in particular, are evaluated against existing empirical evidence. We also present a preliminary study using two n-person expansions of the Prisoner's Dilemma Game, which allow for competition within own-group as well as between groups. The chapter concludes with a consideration of possible ways of reducing discontinuity.
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