Rady, Sven; Keller, Godfrey - In: Theoretical Economics 5 (2010) 2, pp. 275-311
We study a game of strategic experimentation with two-armed bandits where the risky arm distributes lump-sum payoffs …, asymmetric equilibria in which players take turns playing the risky arm before all experimentation stops Pareto dominate the … where players experiment, but may reduce the intensity of experimentation at more optimistic beliefs. This suggests that …