August 27, 2013

How Money Helps Us Trust Each Other



What makes money essential for the functioning of modern society? An international group of researchers from Switzerland, Italy and the U.S. have shown through an experiment how money helps modern societies prosper by fostering cooperation among strangers.

As a species, human survival depends on cooperation, which our ancestors developed by banding together in small, close-knit groups of individuals who thrived by reciprocating help over time. But this evolutionary recipe for success seems at odds with modern societies, composed of millions of individuals who are strangers to each other.