Asked by
Blake Bryant
on Nov 25, 2024
Verified
The dictator game and ultimatum game are experiments that have provided field evidence for
A) the invisible hand.
B) fairness.
C) self-interest.
D) cognitive biases.
Dictator Game
Rephrased: An experiment in behavioral economics where an individual (termed the "dictator") decides the allocation of a certain resource or amount of money between themselves and a second participant, without any enforceable consequences.
Ultimatum Game
A game in experimental economics where a proposer is given a sum of money to split with a responder; if the responder rejects the offer, both players get nothing, highlighting negotiation and fairness perceptions.
- Outline the features and outcomes of the dictator and ultimatum games in depicting human behavior tendencies.
- Analyze how fairness influences economic activities and the variation in its perception among individuals.
Verified Answer
AM
Learning Objectives
- Outline the features and outcomes of the dictator and ultimatum games in depicting human behavior tendencies.
- Analyze how fairness influences economic activities and the variation in its perception among individuals.