How Robust is Laboratory Gift Exchange?

Gary Charness (), Guillaume Frechette and John Kagel ()
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Guillaume Frechette: Ohio State University

No 10-03, University of California at Santa Barbara, Economics Working Paper Series from Department of Economics, UC Santa Barbara

Abstract: The gift-exchange game is a form of sequential prisoner's dilemma, developed by Fehr, Kirchsteiger, and Riedl (1993), and popularized in a series of papers by Ernst Fehr and co-authors. While the European studies typically feature a high degree of gift exchange, the few U.S. studies provide some conflicting results. We find that the degree of gift exchange is surprisingly sensitive to an apparently innocuous change--whether or not a comprehensive payoff table is provided in the instructions. We also find significant and substantial time trends in responder behavior.

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Journal Article: How Robust is Laboratory Gift Exchange? (2004)
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