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In an experiment on the repeated prisoner’s dilemma where intended actions are implemented with noise, Fudenberg et al. (2012) observe that non-equilibrium strategies of the "tit-for-tat" family are largely adopted. Furthermore, they do not find support for risk dominance of TFT as a...
Persistent link: https://www.econbiz.de/10012805575
We aim to understand the role and evolution of beliefs in the indefinitely repeated prisoner's dilemma (IRPD). To do so, we elicit beliefs about the supergame strategies chosen by others. We find that heterogeneity in beliefs and changes in beliefs with experience are central to understanding...
Persistent link: https://www.econbiz.de/10013345861
In this paper we investigate how cognitive ability and character skills influence behavior, success and the evolution of play towards Nash equilibrium in repeated strategic interactions. We study behavior in a p-beauty contest experiment and find striking differences according to cognitive...
Persistent link: https://www.econbiz.de/10010364492
Intelligence affects social outcomes of groups. A systematic study of the link is provided in an experiment where two groups of subjects with different levels of intelligence, but otherwise similar, play a repeated prisoner's dilemma. The initial cooperation rates are similar, it increases in...
Persistent link: https://www.econbiz.de/10010409805
with low payoff inequality, disclosure disrupts coordination, as higher intelligence players try to force their most … does not significantly affect coordination, while coordination is more often on outcomes that favor the less intelligent …
Persistent link: https://www.econbiz.de/10013286604
evolutionary game theory model, where higher IQ among subjects determines - through better working memory - a lower frequency of …
Persistent link: https://www.econbiz.de/10012162894
Existing research supports two opposing mechanisms through which positive mood might affect cooperation. Some studies have suggested that positive mood produces more altruistic, open and helpful behavior, fostering cooperation. However, there is contrasting research supporting the idea that...
Persistent link: https://www.econbiz.de/10011760094
This paper studies the effect of endogenous group formation on the outcome in two types of coordination games with … more groups within which they want to play the coordination game. In the theoretical part we show that a simple myopic best … reply dynamics under endogenous group formation leads to the payoff dominant outcome in both types of coordination games …
Persistent link: https://www.econbiz.de/10002881644
Case studies of cartels and recent theory suggest that repeated communication is key for stable cooperation in … round of the game. Beyond improving coordination, communication increases efficiency by making subjects' play more lenient …
Persistent link: https://www.econbiz.de/10011925584
Response times are a simple low-cost indicator of the process of reasoning in strategic games. In this paper, we leverage the dynamic nature of response-time data from repeated strategic interactions to measure the strategic complexity of a situation by how long people think on average when they...
Persistent link: https://www.econbiz.de/10013191643