Learning-based trust fits the encapsulated-interest model through iterated incentives

Evidence

Understanding that others will be trustworthy when their incentives are right, as in the encapsulated-interest account of trust, may hold greater, quicker promise for grasping those opportunities. This requires seeing the choices of others from their perspective to comprehend their incentives. Then trust becomes fully strategic. It is no longer merely induction on senseless facts. — Russell Hardin, Trust and Trustworthiness, 603

Categorization

  • DEFINE: Clarifies the encapsulated-interest account as requiring perspective-taking on others’ incentives, which is precisely what blindness destroys in Saramago’s world — incentives become unreadable when behavior is unobservable.
  • corroborated: 2 independent passages support this claim — Russell Hardin, Trust and Trustworthiness, 603
  • XREF: connects to: Trust is encapsulated interest achievable through many incentive mechanisms; Trustworthiness beliefs are updated through a Bayesian-style learning process.; Mutual trust in iterated exchange is selffulfilling through aligned incentives (+5 more)

Broader Connections