It is commonly accepted that face-to-face communication induces cooperation. The experiment disentangles communication and social effect (replication of Roth, 1995) and examines the components of the social effect with the help of unilateral communication. Results suggest that separate processes, both of a strategic and of an affective-social nature may induce cooperative outcomes in ultimatum bargaining with pre-play communication, depending on the communication protocol. Unilateral communication is found to have weaker effects than bilateral communication, and affects especially the recipient of the communication.
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Paper provided by Center for Rationality and Interactive Decision Theory, Hebrew University, Jerusalem in its series Discussion Paper Series with number
dp369.
Find related papers by JEL classification: C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
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