Morone, Andrea and Morone, Piergiuseppe (2012): Individual and group behaviours in the traveller’s dilemma: an experimental study.
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This paper provides an experimental test of the traveller’s dilemma using individual and group data. Our investigation aims to address three fundamental research questions, which can be summarised as follows: (i) claims are affected by the size of the penalty/reward; (ii) individual decisions differ significantly from group decisions; (iii) individual claims are affected by the induction of a focal point a là Schelling. Experimental findings reported in this paper provide answers to each of these questions showing that: (i) although the size of the penalty/reward did not affect subject choices in the first-period, it played a key role in determining subjects’ behaviour in the repeated game; (ii) overall, groups behave more rationally, in the sense that they were always closer to the Nash equilibrium; (iii) the reference point did not encourage coordination around the Pareto optimal choice.
|Item Type:||MPRA Paper|
|Original Title:||Individual and group behaviours in the traveller’s dilemma: an experimental study|
|Keywords:||traveller’s dilemma; focal point; individual and group decision|
|Subjects:||D - Microeconomics > D7 - Analysis of Collective Decision-Making > D70 - General
C - Mathematical and Quantitative Methods > C9 - Design of Experiments > C92 - Laboratory, Group Behavior
C - Mathematical and Quantitative Methods > C9 - Design of Experiments > C91 - Laboratory, Individual Behavior
|Depositing User:||Andrea Morone|
|Date Deposited:||19 Apr 2012 12:54|
|Last Modified:||04 Jan 2017 16:22|
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