Strategic Delegation: An Experiment
We examine the effects of strategic delegation in a simple ultimatum game experiment. Specifically, we show that when the proposer uses a delegate, his share increases. Since in such a case the proposer does not use the delegate as a commitment device, this effect identifies an additional explanation of the delegation phenomenon. This result holds when delegation is mandatory or optional. We also show that unobserved delegation by the responder reduces his share as his delegate is perceived to be more willing to accept tough offers. Copyright 2001 by the RAND Corporation.
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Volume (Year): 32 (2001)
Issue (Month): 2 (Summer)
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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Guth, Werner, 1995. "On ultimatum bargaining experiments -- A personal review," Journal of Economic Behavior & Organization, Elsevier, vol. 27(3), pages 329-344, August.
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"Commitment through renegotiation-proof contacts with third parties,"
ULB Institutional Repository
2013/9569, ULB -- Universite Libre de Bruxelles.
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The RAND Corporation, vol. 22(3), pages 307-328, Autumn.
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- Schotter, Andrew & Snyder, Blaine & Zheng, Wei, 1995. "Bargaining Through Agents: An Experimental Study of Delegation and Commitment," Working Papers 95-27, C.V. Starr Center for Applied Economics, New York University.
- Caillaud, Bernard & Jullien, B & Picard, P, 1995. "Competing Vertical Structures: Precommitment and Renegotiation," Econometrica, Econometric Society, vol. 63(3), pages 621-646, May.
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- Fershtman, Chaim & Judd, Kenneth L, 1987. "Equilibrium Incentives in Oligopoly," American Economic Review, American Economic Association, vol. 77(5), pages 927-940, December.
- Colin F. Camerer & Richard H. Thaler, 1995. "Anomalies: Ultimatums, Dictators and Manners," Journal of Economic Perspectives, American Economic Association, vol. 9(2), pages 209-219, Spring. Full references (including those not matched with items on IDEAS)
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