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Anchoring is one of the most studied and robust behavioral biases, but there is little knowledge about its persistence in strategic settings. This article studies the role of anchoring bias in private-value auctions. We test experimentally two different anchor types. The announcement of a random...
Persistent link: https://www.econbiz.de/10012290342
toward the anchor in games where choices are strategic substitutes. …
Persistent link: https://www.econbiz.de/10013197554
We investigate the scope for cooperation within a community engaged in repeated reciprocal interactions. Players seek the help of others and approach them sequentially according to some fixed order, that is, a ranking profile. We study the ranking profiles that are most effective in sustaining...
Persistent link: https://www.econbiz.de/10010352860
Due to their many applications, large Bayesian games have been a subject of growing interest in game theory and related … of Bayesian repeated large games that avoids some of these difficulties. To make the analysis more robust, it develops a … concept of compressed equilibrium which is applicable to a general class of Bayesian repeated large anonymous games. …
Persistent link: https://www.econbiz.de/10010352862
When do we cooperate and why? This question concerns one of the most persistent divides between \"theory and practice\", between predictions from game theory and results from experimental studies. For about 15 years, theoretical analyses predict completely-mixed \"behavior\" strategies, i.e....
Persistent link: https://www.econbiz.de/10011932961
time. Either result can then be used to prove a folk theorem for repeated games with almost-perfect almost …
Persistent link: https://www.econbiz.de/10010266288
We consider a dynamic auction problem motivated by the traditional single-leg, multi-period revenue management problem. A seller with C units to sell faces potential buyers with unit demand who arrive and depart over the course of T time periods. The time at which a buyer arrives, her value for...
Persistent link: https://www.econbiz.de/10010276989
Using techniques from evolutionary game theory, we analyze potential games with continuous player sets, a class of … games which includes a general model of network congestion as a special case. We concisely characterize both the complete …, we characterize potential games with continuous player sets by establishing that a generalization of these games is …
Persistent link: https://www.econbiz.de/10012236010
We investigate the welfare effect of increasing competition in an anonymous two-sided matching market, where matched pairs play an infinitely repeated Prisoner's Dilemma. Higher matching efficiency is usually considered detrimental as it creates stronger incentives for defection. We point out,...
Persistent link: https://www.econbiz.de/10013333575
We investigate the welfare effect of increasing competition in an anonymous two-sided matching market, where matched pairs play an infinitely repeated Prisoner's Dilemma. Higher matching efficiency is usually considered detrimental as it creates stronger incentives for defection. We point out,...
Persistent link: https://www.econbiz.de/10014467786