We compare a partners condition, where the same small group of subjects plays a repeated public good game, to a strangers condition, where subjects play this game in changing group formations. From the first period onward, subjects in the partners condition contribute significantly more to the...

In a series of experiments, we compare a situation where the same group of four subjects plays 25 repetitions of a public good game (partners condition) to a situation where subjects play this game in changing group formations over 25 periods (strangers condition). We observe that, on aggregate...

Subjects played twice a multistage duopoly game with demand inertia. Their actual behavior is different from the unique subgame perfect equilibrium solution of the game. In the second plays of the game, subjects tend to behave more cooperatively than in the first plays: profits, prices, and...

Recent experimental results show that equilibrium selection in coordination games exhibits remarkable regularities. We analyze three important determinants for equilibrium selection in coordination games, the size of the population of players, the number of periods during which players interact...

We examine a technology-adoption game with network effects in which coordination on either technology A or technology B constitutes a Nash equilibrium. Coordination on technology B is assumed to be payoff dominant. We define a technology’s critical mass as the minimal share of users, which is...