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A Simulation of Social Groups Under A Gift Economy
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A Simulation of Social Groups Under A Gift Economy

LessWrong · May 2, 2026, 2:26 AM

Introduction I enjoy reading about people. Not individuals, but rather cultures, empires, kinship groups, etc. I'm fascinated by the emergent properties of multi-person systems. This post is born out of love for my favorite book: "Stone Age Economics" by Marshall Sahlins. In this text Sahlins elaborates on the economic life of hunter-gatherer and simple agricultural societies which exist today, extrapolating this into the past. He touches on many different points, but the one this post will focus on is the concept of debt and gift-economies as the progenitor to our modern economic system.If you were taught the Smithian notion of the historical existence of barter economies, I'm sorry to say that you were taught wrong, or at least were taught a long while back. To quote Humphrey, Caroline. 1985. "Barter and Economic Disintegration.":"No example of a barter economy,pure and simple,has ever been described,let alone the emergence from it of money;all available ethnography suggests that there never has been such a thing."If the idea of traders exchanging goods in a marketplace without currency is mostly a fiction, then what *did* come before currency? In short, the gift economy: a system of mentally tabulated debts sourced from gift-giving over a small social network. Imagine you and a few friends are transported back in time. You get up, dust yourself off, and see no buildings, no roads, no crowds of people. Rather, it's simply wilderness. How should you and your friends survive and distribute resources?You could grab something nearby, say a shiny quartz pebble and say to your friends: "Okay, this is our currency. If you want something from me give me quartz pebbles in payment and I'll do the same for you." But why bother? You only have a finite number of friends, and it's pretty simple to keep track of who's doing their fair share in making sure your small band survives. If you notice one of your friends napping while the rest of you are off hunting you will make note t

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