This paper describes an agent-based simulation extension of Grafen's model of the handicap principle. This signaling game explains how evolution leads to reliable signaling between animals in situation when individuals have a motivation to deceive each other, e.g. when their traits are not observable. The standard theory implies that the cost of a signal, which is relatively higher for the inferior individuals, ensures its reliability. The aim of our model is to investigate the possible evolutionary stable equilibria existing in this communication system. We performed analysis of the proposed model using simulation. The obtained results show that there exist equilibria in which cheating is an evolutionary stable strategy and identify conditions needed for such a situation. Additionally we observe that the taste of females becomes homogeneous in time, which is in line with the runaway process concept proposed by Fisher.
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