Ultimatum Games and Wages: Evidence of an “Implicit Bargain”?
AbstractIn this paper, I argue that both ultimatum game outcomes and wages may be in¬fluenced by what the result of a bargain would have been: The players in the ultimatum game, just as the parties to the labor contract, seem to engage in what may be called an “implicit” or, in Selten' s words, an “imaginary” bargain. In determining ultimatum game outcomes, assuming an implicit bargain can account for the experimental evidence on the role of responder bargaining power. Moreover, the implications of the implicit bar¬gain for the wage setting process are compatible with the stylized facts of wage determination.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by LMU Munich School of Management in its journal Schmalenbach Business Review.
Volume (Year): 55 (2003)
Issue (Month): 2 (April)
Ultimatum Game; Wage Determination; Nash Bargain.;
Find related papers by JEL classification:
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
- M12 - Business Administration and Business Economics; Marketing; Accounting - - Business Administration - - - Personnel Management; Executives; Executive Compensation
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Siegfried K. Berninghaus & Werner Güth & Charlotte Klempt & Kerstin Pull, 2013. "Assessing Mental Models via Recording the Decision Deliberations of Pairs," Jena Economic Research Papers 2013-012, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics.
- Maarten C.W. Janssen, 2006. "On the Strategic Use of Focal Points in Bargaining Situations," Tinbergen Institute Discussion Papers 06-040/1, Tinbergen Institute.
- Janssen, Maarten C.W., 2006. "On the strategic use of focal points in bargaining situations," Journal of Economic Psychology, Elsevier, vol. 27(5), pages 622-634, October.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (sbr) The email address of this maintainer does not seem to be valid anymore. Please ask sbr to update the entry or send us the correct address.
If references are entirely missing, you can add them using this form.