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Fairness in the Mail and Opportunism in the Internet: A Newspaper Experiment on Ultimatum Bargaining

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  • Werner Güth
  • Carsten Schmidt
  • Matthias Sutter

Abstract

On 11 May 2001, readers of the Berliner Zeitung were invited to participate in an ultimatum bargaining experiment played in the strategy vector mode: each participant chooses not only how much (s)he demands of the DM1,000 pie but also which of the nine possible offers of DM100, 200, …, 900 (s)he would accept or reject. In addition, participants were asked to predict the most frequent type of behavior. Three randomly selected proposer-responder pairs were rewarded according to the rules of ultimatum bargaining and three randomly chosen participants of those who predicted the most frequent type of behavior received a prize of DM500. Decisions could be submitted by mail, fax or via the internet. Behavior is described, statistically analyzed and compared to the usual laboratory ultimatum bargaining results. Copyright Verein für Socialpolitik and Blackwell Publishing Ltd. 2003.

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Bibliographic Info

Article provided by Verein für Socialpolitik in its journal German Economic Review.

Volume (Year): 4 (2003)
Issue (Month): 2 (05)
Pages: 243-265

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Handle: RePEc:bla:germec:v:4:y:2003:i:2:p:243-265

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  1. Alvin E. Roth & Axel Ockenfels, . "Last-Minute Bidding and the Rules for Ending Second-Price Auctions: Evidence from eBay and Amazon Auctions on the Internet," Papers on Strategic Interaction 2002-32, Max Planck Institute of Economics, Strategic Interaction Group.
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  9. Solnick, Sara J, 2001. "Gender Differences in the Ultimatum Game," Economic Inquiry, Western Economic Association International, vol. 39(2), pages 189-200, April.
  10. Robert Slonim & Alvin E. Roth, 1998. "Learning in High Stakes Ultimatum Games: An Experiment in the Slovak Republic," Econometrica, Econometric Society, vol. 66(3), pages 569-596, May.
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