Response Time under Monetary Incentives:the Ultimatum Game

This paper studies the response times of experimental subjects playingthe Ultimatum game in a laboratory setting using monetary incentives.We find that proposals are not significantly correlated with responsetime, whereas responders’ behavior is positively and significantlycorrelated. Hence, consistent with Rubisntein (forthcoming) we find thatresponse times may capture relevant cognitive processes. However, theuse of monetary incentives causes a reversal of his findings. These resultshave implications for the information about cognitive mechanisms thatcan be obtained from response times.