Ultimatum game


Two players are chosen at random, one is designated as the proposer, the other as the responder. The experimenter offers 100 points to the team. The proposer has to propose a share of it to the responder. If the responder accepts, this is how the 100 points are split. However, if he rejects the proposal, none of the players receives anything. Evaluations Number of players: 30 (15 games)
Mean proposal: 39 ± 10.7
Distribution of proposals:
Notes Comments The rational strategy is to offer 1 point, and to accept everything. In reality, offers below 30% get mostly rejected. In a vast majority of studies conducted with different incentives in different countries, some 60-80% of proposers offer between 40% and 50% of the total sum, and only 3% of proposers offer less than 20%. Conversely, some 50% of responders reject offers below 30% of the total.
Written by Christoph Hauert