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Inducing imperfect recall in the lab

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  • Deck, Cary
  • Sarangi, Sudipta

Abstract

Our paper provides a procedure to induce imperfect recall in the laboratory, even though in the past it has been claimed that this is difficult to achieve in a controlled environment. To accomplish this task we rely on a technique called divided attention to impair subject recollection of previous choices in a version of the absent-minded driver game of Piccione and Rubinstein [Piccione, M., Rubinstein, A., 1997a. On the interpretation of decision problems with imperfect recall. Games and Economic Behavior 20, 3-24]. The results suggest that a substantial number of subjects experience imperfect recall yet still behave in a rational manner. The observed behavior is consistent with a large portion of the subjects falling prey to the temporal paradox as suggested by Piccione and Rubinstein [Piccione, M., Rubinstein, A., 1997a. On the interpretation of decision problems with imperfect recall. Games and Economic Behavior 20, 3-24].

Suggested Citation

  • Deck, Cary & Sarangi, Sudipta, 2009. "Inducing imperfect recall in the lab," Journal of Economic Behavior & Organization, Elsevier, vol. 69(1), pages 64-74, January.
    • Handle: RePEc:eee:jeborg:v:69:y:2009:i:1:p:64-74
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    References listed on IDEAS

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    1. Piccione, Michele & Rubinstein, Ariel, 1997. "The Absent-Minded Driver's Paradox: Synthesis and Responses," Games and Economic Behavior, Elsevier, vol. 20(1), pages 121-130, July.
    2. Lipman, Barton L., 1997. "More Absentmindedness," Games and Economic Behavior, Elsevier, vol. 20(1), pages 97-101, July.
    3. Piccione, Michele & Rubinstein, Ariel, 1997. "On the Interpretation of Decision Problems with Imperfect Recall," Games and Economic Behavior, Elsevier, vol. 20(1), pages 3-24, July.
    4. Burnham, Terence & McCabe, Kevin & Smith, Vernon L., 2000. "Friend-or-foe intentionality priming in an extensive form trust game," Journal of Economic Behavior & Organization, Elsevier, vol. 43(1), pages 57-73, September.
    5. Aumann, Robert J. & Hart, Sergiu & Perry, Motty, 1997. "The Absent-Minded Driver," Games and Economic Behavior, Elsevier, vol. 20(1), pages 102-116, July.
    6. Guth, Werner & Schmittberger, Rolf & Schwarze, Bernd, 1982. "An experimental analysis of ultimatum bargaining," Journal of Economic Behavior & Organization, Elsevier, vol. 3(4), pages 367-388, December.
    7. Cooper, David J. & Van Huyck, John B., 2003. "Evidence on the equivalence of the strategic and extensive form representation of games," Journal of Economic Theory, Elsevier, vol. 110(2), pages 290-308, June.
    8. James C. Cox & Cary A. Deck, 2005. "On the Nature of Reciprocal Motives," Economic Inquiry, Western Economic Association International, vol. 43(3), pages 623-635, July.
    9. Aumann, Robert J. & Hart, Sergiu & Perry, Motty, 1997. "The Forgetful Passenger," Games and Economic Behavior, Elsevier, vol. 20(1), pages 117-120, July.
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    Cited by:

    1. M. Levati & Matthias Uhl & Ro’i Zultan, 2014. "Imperfect recall and time inconsistencies: an experimental test of the absentminded driver “paradox”," International Journal of Game Theory, Springer;Game Theory Society, vol. 43(1), pages 65-88, February.

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