We propose a minimalist stochastic model of multilevel (or group) selection. A population is subdivided into groups. Individuals interact with other members of the group in an evolutionary game that determines their fitness. Individuals reproduce, and offspring are added to the same group. If a group reaches a certain size, it can split into two. Faster reproducing individuals lead to larger groups that split more often. In our model, higher-level selection emerges as a byproduct of individual reproduction and population structure. We derive a fundamental condition for the evolution of cooperation by group selection: if b͞c > 1 ؉ n͞m, then group selection favors cooperation. The parameters b and c denote the benefit and cost of the altruistic act, whereas n and m denote the maximum group size and the number of groups. The model can be extended to more than two levels of selection and to include migration.finite populations ͉ prisoner's dilemma ͉ group selection ͉ fixation probability ͉ stochastic process C ompetition between groups can lead to selection of cooperative behavior. This idea can be traced back to Charles Darwin, who wrote in 1871: ''There can be no doubt that a tribe including many members who..were always ready to give aid to each other and to sacrifice themselves for the common good, would be victorious over other tribes; and this would be natural selection'' (1). The first mathematical model of group selection was proposed in 1945 by Sewall Wright (2). The enthusiastic attempt of early group selectionists to understand all of the evolution of altruism from this one perspective (3, 4) has led to vigorous criticism and a general denial of such ideas for decades (5-8). Only a small number of biologists continued to work in this area (9-19). Over many years, D. S. Wilson was the main proponent of the idea of group selection (20-22). Nowadays, there seems to be a renewed interest in the subject, as demonstrated by many empirical and theoretical studies (23-28). The current analysis of group selection is also closely related to the attempt at understanding the simultaneous effect of natural selection on multiple-levels (29-31). In our opinion, group selection is an important organizing principle that permeates evolutionary processes from the emergence of the first cells to eusociality and the economics of nations.Consider a population that is subdivided into groups. The fitness of individuals is determined by the payoff from an evolutionary game. Interactions occur between members of the same group. We model stochastic evolutionary dynamics. In any one time step, a single individual from the entire population is chosen for reproduction with a probability proportional to its fitness. The offspring is added to the same group. If the group reaches a critical size, n, it will divide into two groups with probability q. The members of the group are randomly distributed over the two daughter groups, see Fig. 1. With probability 1Ϫ q, the group does not divide, but a random individual of the group is eliminate...