Abstract
Indirect reciprocity, defined as a beneficial act whose return comes from someone other than the act's recipient, is a common phenomenon in human societies. However, it is a poorly analyzed phenomenon with respect to payoffs. Are the expectations of return realistic, or not? Are these expectations pro-social attitudes, or illusions induced through manipulation? I discuss four categories of putative indirect reciprocity, two of which pertain to interaction between individuals and two of which involve social systems. The conclusion is that two of these categories, reciprocal reputation and institutionalized reciprocity, are strongly linked to reciprocity, whereas the other two categories, generous reputation and metaphysical reward, are likely to involve only an element of illusionary reciprocity and a substantial degree of altruism.