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Persistent link: https://www.econbiz.de/10010528943
-known commitment problem by introducing communication. Allowing the upstream firm to chat privately with each downstream firm reduces … total offered quantity from near the Cournot level (observed in the absence of communication) halfway toward the monopoly … bargaining advantage from open communication that all of the gains from monopolizing the market accrue to them. A simple …
Persistent link: https://www.econbiz.de/10011518962
experiments with written cheap-talk communication between players and we compare them to treatments without the possibility to … tacitly but that the number of firms does not significantly affect outcomes with communication. As a result, the payoff gain … from communication increases with the number of firms, at a decreasing rate. …
Persistent link: https://www.econbiz.de/10011844753
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We report on an experiment using video technology to manipulate pre-play communication protocols in the lab and to … study purely social effects of communication on donations and discrimination between potential receivers. The experimental … the latter decides on her gifts. Through the use of three communication setups (none, audio, and audio-visual) we show and …
Persistent link: https://www.econbiz.de/10008511331
We report on an experiment using video technology to manipulate pre-play communication protocols in the lab and to … study purely social effects of communication on donations and discrimination between potential receivers. The experimental … the latter decides on her gifts. Through the use of three communication setups (none, audio, and audio-visual) we show and …
Persistent link: https://www.econbiz.de/10010277337
implicitly and explicitly), if at all, in such games. In our treatments without communication, players fail to cooperate and … essentially play the static Nash equilibrium (consistent with previous results). With communication, inefficient firms gain at the …
Persistent link: https://www.econbiz.de/10011929112
To explain why pre-play communication increases cooperation in games, one refers to a) strategic causes such as … efficient communication or reputation effects, and b) changes in the utilities due to social processes. Hitherto experimental … focus on the effects of communication processes. We clearly find social effects, but none of revealed anonymity or salient …
Persistent link: https://www.econbiz.de/10005704403
Persistent link: https://www.econbiz.de/10011459869
In capacity-then-price-setting games, soft capacity constraints are planned sales amounts where producing above capacity is possible but more costly. While the subgame perfect equilibrium predicts equal prices, experimental evidence often reveals price discrepancies. This failure to coordinate...
Persistent link: https://www.econbiz.de/10011976964