Final answer:
True, contracts among members of different groups can increase cooperation by building trust and mutual understanding, as evidenced by prisoner's dilemma scenarios and the effectiveness of functionalism in organizations like the European Union. Leadership incentives and the addressing of collective action problems also contribute to this.
Step-by-step explanation:
Contract among members of different groups does typically increase cooperation. This is true because as demonstrated by a prisoner's dilemma scenario, mutual understanding and trust are pivotal for cooperation. When individuals are familiar with one another, trust is more likely to be established, leading to a greater likelihood of cooperative behavior. Additionally, collective action problems exist in various organizations and governments, where incentives and leadership play crucial roles in motivating group members to work towards common goals, thereby enhancing cooperation.
Functionalism in the context of International Governmental Organizations (IGOs) like the European Union, suggests that starting with small-scale cooperation can build trust and lead to more complex forms of cooperation over time. Furthermore, to mitigate free rider problems, leaders must find innovative ways to incentivize participation to ensure the group's success in achieving collective goods.
However, it is important to recognize that organizational size and the distribution of effort can impact cooperation. Large groups might face difficulties in maintaining cooperation, which can sometimes lead to divisions and the formation of smaller groups to efficiently manage resources and tasks.