This paper experimentally investigates cooperative game theory from a normative perspective. Subjects designated as Decision Makers express their view on what is fair for others, by recommending a payoff allocation for three subjects (Recipients) whose substitutabilities and complementarities...

In the Ultimatum Game (UG) one player, named “proposer”, has to decide how to allocate a certain amount of money between herself and a “responder”. If the offer is greater than or equal to the responder’s minimum acceptable offer (MAO), then the money is split as proposed, otherwise,...

Prosociality is fundamental to human social life, and, accordingly, much research has attempted to explain human prosocial behavior. Capraro and Rand (Judgment and Decision Making, 13, 99-111, 2018) recently provided experimental evidence that prosociality in anonymous, one-shot interactions...

We experimentally investigate multiple notions of equity in ultimatum bargaining with asymmetric outside options. Building on the generalized equity principle formulated by Selten (1978), we derive three different equity rules that can explain 43% of all offers. Our within-subject design further...

We experimentally investigate the relevance of (asymmetric) outside options in ultimatum bargaining. Building on the generalized equity principle formulated by Selten (1978) we derive three different equity rules. These equity rules can explain 43% of all o ers. Our within-subject design allows...

Bargaining results emerge from the interplay of strategic options and social preferences. For every bargaining game, however, the advantage of a player having certain preferences in terms of negotiated equilibrium revenues might differ. We explore the hypothesis that preferences change according...

We experimentally study how redistribution choices are affected by positive and negative information regarding the behaviour of a previous participant in a dictator game with a taking option. We use the strategy method to identify behavioural ‘types', and thus distinguish ‘conformists' from...

We suggest that the propensity for altruistic punishment and reward is an emergent property that has co-evolved with cooperation and has provided efficient feedback measured in social dilemma and public good experiments. A simple cost/benefit analysis at the level of single agents, who...

Using a lab experiment, we investigate the real-life performance of envy-free and proportional cake-cutting procedures with respect to fairness and preference manipulation. We nd that envy-free procedures, in particular Selfridge-Conway, are fairer and also are perceived as fairer than their...

Decades of experimental research show that some people forgo personal gains to benefit others in unilateral anonymous interactions. To explain these results, behavioral economists typically assume that people have social preferences for minimizing inequality and/or maximizing efficiency (social...