Does odd or even make a difference

Sanjeev Tripathi

No WP2016-03-15, IIMA Working Papers from Indian Institute of Management Ahmedabad, Research and Publication Department

Abstract: The evidence from literature on ultimatum games suggests that proposers often split the stake equally when they make an offer. In this study we investigate the effect of odd size stakes (OSS) in ultimatum games. OSS prevents the proposer from splitting the stake in two equal parts. The results suggest that when stakes are odd, proposers do not stay in the neighborhood of an equal split, rather they are tempted to move away and make lower offers.

Date: 2016-03-14
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