This paper explores the effects of communication in market entry games experimentally. It is shown that communication … increases coordination success substantially and generate inferior outcomes for consumers when market entry costs are symmetric …. Such effects are not observed when costs are asymmetric, since asymmetries provide a tacit coordination cue used by …

The paper analyzes the role of the structure of communication - i.e. who is talking with whom - on the choice of … messages, on their credibility and on actual play. We run an experiment in a three-player coordination game with Pareto ranked … analysis of credibility, the subjects should communicate and play the Pareto optimal equilibrium only when communication is …

obligatory. We compare coordination failure with efficient rationing as well as with compulsory serving of demand, and … losses. Our experimental results show that (possible) coordination failure affects behavior through two channels: via … anticipating losses but decrease after experiencing losses. Coordination failures are more probable after subjects experienced a …

Costless and non-binding pre-play communication (cheap talk) has been found to often be effective in achieving … uncertainty in the framework of a 2x2 coordination game, in which one choice leads to the same payoff regardless of the action of … the other person's play. Cheap talk is found to be effective, as there is much more coordination in both Signal treatments …

This paper experimentally investigates free-riding behavior on communication cost in a coordination game and finds … strong indications of such free-riding. Firstly, the subjects wait for others to send a message when communication is costly …, which does not happen when communication is costless. Secondly, the proportion of games where no communication or one …

We study the impact of communication on behavior in a two-stage coordination game with asymmetric payoffs. We test … sustain coordination over time and alleviate the inequality induced by the asymmetry of payoffs. Third, communication …

model of communication in games and investigate the importance of when communication takes place. Sending a message before … are believed whenever possible. Applying our results to Aumann's Stag Hunt game we find that communication is useless if …

higher payoffs in the game when the talk is one-way as the truthful reports facilitate desired coordination. …

Using experimental methods, this paper investigates the limits of communication and leadership in aiding group … coordination in a minimum effort game. Choosing the highest effort is the payoff dominant Nash equilibrium in this game, and … communication and leadership are expected to help in coordinating on such an equilibrium. We consider an environment in which the …

We study communication in a two-player coordination game with Pareto-ranked equilibria. Prior research demonstrates … that efficient coordination is difficult without communication but obtains regularly with (mandatory) costless pre … communication. Consistent with the introspective character of GW-FI, the fraction of players who achieve efficient coordination by …