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Sequential reciprocity in two-player, two-stage games: An experimental analysis

Geert Dhaene and Jan Bouckaert

Games and Economic Behavior, 2010, vol. 70, issue 2, 289-303

Abstract: We experimentally test Dufwenberg and Kirchsteiger's (2004) theory of sequential reciprocity in a sequential prisoner's dilemma and a mini-ultimatum game. Data on behavior and first- and second-order beliefs allow us to classify each subject's behavior as a material best response, a reciprocity best response, both, or none. We found that in both games the behavior of about 80% of the first movers was a material best response, a reciprocity best response, or both. The remaining 20% of first movers almost always made choices that were "too kind" according to Dufwenberg and Kirchsteiger's theory. Second-mover behavior, in both games, was in line with the predictions of the theory. We found first- and second-order beliefs to be unbiased in the sequential prisoner's dilemma, but biased in the mini-ultimatum game.

Keywords: Sequential; reciprocity; Sequential; prisoner's; dilemma; Mini-ultimatum; game (search for similar items in EconPapers)
Date: 2010
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Citations: View citations in EconPapers (14)

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Related works:
Working Paper: Sequential reciprocity in two-player, two-stage games: An experimental analysis (2007) Downloads
Working Paper: Sequential reciprocity in two-player, two-stages games: an experimental analysis (2007) Downloads
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