Do emotions affect strategic sophistication?

Damian Antonio Gonzo

No 4658, Asociación Argentina de Economía Política: Working Papers from Asociación Argentina de Economía Política

Abstract: Anger is a negative emotion commonly experienced by all human beings, and it has proven effects on human cognition. Research in this field has shown that cognitive abilities diminish in angry individuals, a phenomenon referred to as "the depth of thought effect." This paper establishes a causal relationship between anger and the strategic sophistication of subjects in a laboratory setting. The experimental design involves an emotion-induction treatment and a beauty contest to measure the strategic sophistication of participants. Treated subjects report higher levels of anger and choose significantly higher numbers in the game, indicating a negative effect of anger on strategic sophistication.

JEL-codes: D1 (search for similar items in EconPapers)
Pages: 11 pages
Date: 2023-11
New Economics Papers: this item is included in nep-exp, nep-gth and nep-neu
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