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In a laboratory experiment, we create relationships between pairs of anonymous subjects through a Prisoners' dilemma game. Thereafter the same subjects play a private values (sealed-bid double auction) bargaining game with or without communication. Communication substantially increases...
Persistent link: https://www.econbiz.de/10005649129
a lexicographic preference, second to the payoffs in the underlying game, for honesty. We formalize this by way of an … honesty (or truth) correspondence between actions and statements, and postulate two axioms met by natural languages. The model …
Persistent link: https://www.econbiz.de/10005649475