Measuring Players' Losses in Experimental Games

S-Tier
Journal: Quarterly Journal of Economics
Year: 1997
Volume: 112
Issue: 2
Pages: 507-536

Score contribution per author:

4.022 = (α=2.01 / 2 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

In some experiments rational players who understand the structure of the game could improve their payoff. We hound the size of the observed losses in several such experiments, lb do this, we suppose that observed play resembles an equilibrium because players learn about their opponents' play. Consequently, in an extensive-form game, some actions that are not optimal given the true distribution of opponents' play could be optimal given available information. We find that average losses are small: $0.03 to $0.64 per player with stakes between $2 and $30. In one of the three experiments we examine, this also implies a narrow range of outcome.

Technical Details

RePEc Handle
repec:oup:qjecon:v:112:y:1997:i:2:p:507-536.
Journal Field
General
Author Count
2
Added to Database
2026-01-25