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round of the game. Beyond improving coordination, communication increases efficiency by making subjects' play more lenient …Case studies of cartels and recent theory suggest that repeated communication is key for stable cooperation in … environments where signals about others' actions are noisy. However, empirically the exact role of communication is not well …
Persistent link: https://www.econbiz.de/10011931862
We present an economic experiment on network formation, in which subjects can decide to form links to one another …. Direct links are costly but being connected is valuable. The gametheoretic basis for our experiment is the model of Bala and …
Persistent link: https://www.econbiz.de/10010262760
This paper studies the effect of endogenous group formation on the outcome in two types of coordination games with … more groups within which they want to play the coordination game. In the theoretical part we show that a simple myopic best … reply dynamics under endogenous group formation leads to the payoff dominant outcome in both types of coordination games …
Persistent link: https://www.econbiz.de/10010267615
In this paper we show that subtle forms of deceit undermine the effectiveness of incentives. We design an experiment in …
Persistent link: https://www.econbiz.de/10005822257
We present an economic experiment on network formation, in which subjects can decide to form links to one another …. Direct links are costly but being connected is valuable. The gametheoretic basis for our experiment is the model of Bala and …
Persistent link: https://www.econbiz.de/10005761658
campaign by making non-binding promises to voters. Confirming the model's key predictions, we find in the experiment that …
Persistent link: https://www.econbiz.de/10011559686
medium sized and large groups and show that neighborhood choice indeed leads to coordination on the fully efficient …
Persistent link: https://www.econbiz.de/10010282539
Human communication in organizations often involves a large amount of gossiping about others. Here we study in an … experiment whether gossip affects the efficiency of human interactions. We let subjects play a trust game. Third parties observe …
Persistent link: https://www.econbiz.de/10011479222
Because costly punishment is not credible, subgame perfection suggests that punishment will not deter free riding, regardless of the size or structure of groups. However, experiments show that people will punish free riders, even at considerable cost. To examine the implications of agents who...
Persistent link: https://www.econbiz.de/10010262078
This paper reports the results of a laboratory experiment on network formation among heterogeneous agents. The …
Persistent link: https://www.econbiz.de/10010267578