We introduce a procedure to infer the repeated-game strategies that generate actions in experimental choice data. We apply the technique to set of experiments where human subjects play a repeated Prisoner's Dilemma. The technique suggests that two types of strategies underly the data.

We model a situation in which agents must choose between two technologies that operate under local, positive network externalities. We find that decentralized behaviour can lead to the emergence of a technical standard, but can also result in a variety of other equilibria. Policy to eliminate...

Extensive research in economics explores generosity in monetary allocations. However, generosity often involves the allocation of non-monetary goods or experiences. Existing evidence suggests that generosity may be higher in such contexts, though no direct comparison exists. Here, we compare...

Simulation models are becoming increasingly common in the analysis of critical scientific, policy, and management issues. Such models provide a way to analyze complex systems characterized by both large parameter spaces and nonlinear interactions. Unfortunately, these same characteristics make...

Communication plays a vital role in the organization and operation of biological, computational, economic, and social systems. Agents often base their behavior on the signals they receive from others and also recognize the importance of the signals they send. Here we develop a framework for...

The organization of information processing resources is a central question in economic, organizational, and computational theory. Recent work by Radner (1992) and others has developed a simple theoretical framework and some useful formal mathematical results about the behavior of such systems....

For much of the twentieth century, American corporations led the world in terms of technological progress. Why did certain industries have such great success? Experimental Capitalism examines six key industries—automobiles, pneumatic tires, television receivers, semiconductors, lasers, and...