In a large scale newspaper experiment 5,132 readers of the German weekly, Die Zeit, participated in a three-person bargaining game. In our data analysis we focus on (1) the influence of age, gender, profession and the medium chosen for participation on bargaining behavior and on (2) the external...

In this paper, we apply the bounded rationality approach to an investment situation. In a simple setting where an investor decides between a riskless bond and a risky asset, we distinguish three aspiration levels: a lowest threshold which one wants to guarantee, the aspiration level given by...

This paper contributes to the multidimensional welfare measurement literature inspired by Sen's functioning approach. After reviewing the different statistical techniques used in multidimensional welfare measurement, we suggest structural equation modelling as an appropriate alternative to...

In one-shot investment game experiments where each player's payoff is a convex combination of own and other's profit, trust remains unaffected by the extent of interdependence whereas trustworthiness reacts positively to it.

We experimentally investigate whether the satisficing approach is absorbable, i.e., whether it still applies after participants become aware of it. In a setting where an investor decides between a riskless bond and either one or two risky assets, we familiarize participants with the satisficing...

Traditional game theory usually relies on commonly known decision rationality meaning that choices are made in view of their consequences (the shadow of the future). Evolutionary game theory, however, denies any cognitive deliberation by assuming that choice behavior evolves due to its past...

We examine how communication affects cooperation with the help of seven standard public goods experiments that only differ with respect to the medium of pre-play communication. Our treatments include bi-directional and unidirectional communication via (mostly electronic) auditory and/or visual...

We present an experimental study on the wasted resources associated with tax evasion. This waste arises from taxpayers and tax authorities, investing costly effort in concealment, respectively detect ion, of tax evasion. We show that (socially inefficient) efforts depend positively on the...

In the present note, an effort will be made for a contribution to the economic theory by introducing a practical method to estimate entrepreneurship´s reward. As an example, a regression, based on the estimation of entrepreneurship´s reward, with baning panel data will yield the same main...