Asymmetric Payoffs in Simultaneous and Sequential Prisoner's Dilemma Games
T. K. Ahn
Florida State University - Department of Political Science
James M. Walker
Indiana University - Department of Economics and Workshop in Political Theory and Policy Analysis
Sungkyunkwan University - Department of Economics
August 28, 2006
CAEPR Working Paper No. 2006-003
We investigate the role of payoff asymmetry in laboratory prisoner's dilemma games. Symmetric and Asymmetric games are examined in simultaneous and sequential settings. In the asymmetric/sequential games, we study the impact of having payoff advantaged players moving either first or second. Asymmetry reduces the rates of cooperation in simultaneous games. In sequential games, asymmetry interacts with order of play such that the rate of cooperation is highest when payoff disadvantaged players move first. The presence of an exit option increases cooperation by the players who choose to play the game when payoffs are symmetric, or when payoffs are asymmetric and the payoff disadvantaged player moves first.
Number of Pages in PDF File: 33
Keywords: cooperation, prisoner's dilemma, heterogeneity, exit option
Date posted: September 26, 2006
© 2015 Social Science Electronic Publishing, Inc. All Rights Reserved.
This page was processed by apollo7 in 0.328 seconds