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This paper looks to see if departures from risk neutrality cause subjects to behave differently in randomly terminated supergames compared to infinitely discounted supergames. I show that if subjects have a strictly monotonic utility function, and that utility function is applied to their entire...
Persistent link: https://www.econbiz.de/10012901787
From the perspective of competitors, competition may be modeled as a prisoner's dilemma. Setting the monopoly price is cooperation, undercutting is defection. Jointly, competitors are better off if both are faithful to a cartel. Individually, profit is highest if only the competitor(s) is (are)...
Persistent link: https://www.econbiz.de/10010281843
expected. -- Oligopoly ; Collusion ; experiment ; Uncertainty ; negative externalities ; prisoner's dilemma …
Persistent link: https://www.econbiz.de/10008822475
This paper presents the first laboratory study of risk-sharing without commitment. Our experiment captures the main … for the shape of the constrained optimal risk-sharing arrangement. In our experiment, participants are matched in pairs …-horizon and discounting in the model. Second, at the end of the experiment, a unique period is randomly drawn to count for cash …
Persistent link: https://www.econbiz.de/10014073184
subjective beliefs of players. In a laboratory experiment we measure subjects' certainty equivalents for three coordination games …
Persistent link: https://www.econbiz.de/10010361993
long horizons. We present an experiment comparing decision making under certainty, risk, and ambiguity, over a shorter …
Persistent link: https://www.econbiz.de/10013033292
' responsiveness in the long run. Using an online experiment, we assess how false alarm and missed alarm-prone forecast systems …
Persistent link: https://www.econbiz.de/10015053857
aspects of the VBB, such as the number of balls, their color, and their speed, can be easily modified. In an online experiment …
Persistent link: https://www.econbiz.de/10015075038
Persistent link: https://www.econbiz.de/10009307335
Persistent link: https://www.econbiz.de/10010481167