We examine cooperative behavior when large sums of money are at stake, using data from the television game show Golden Balls. At end each episode, contestants play a variant on classic prisoner's dilemma for and widely ranging stakes averaging over $20,000. Cooperation is surprisingly high amounts that would normally be considered consequential but look tiny in their current context, what we call “big peanuts” phenomenon. Utilizing prior interaction among contestants, find evidence people...

Abstract This paper introduces the Prince incentive system for measuring preferences. combines tractability of direct matching, allowing precise and elicitation indifference values, with clarity validity choice lists. It makes compatibility completely transparent to subjects, avoiding opaqueness Becker-DeGroot-Marschak mechanism. can be used adaptive experiments while any possibility strategic behavior by subjects. To illustrate Prince’s wide applicability, we investigate preference...

We examine gender differences in willingness to compete, using data from a TV game show where each episode the winner of an elimination competition expectation wins hundreds thousands euros. At several stages competition, contestants face choice between continuing compete and opting out exchange for comparatively modest prize. When there is no strategic interaction embedded this choice, we observe well-known pattern that women less than men, but difference derives entirely avoiding against...

We investigate the credibility of nonbinding preplay statements about cooperative behavior, using data from a high-stakes TV game show in which contestants play variant on classic Prisoner’s Dilemma. depart conventional binary approach classifying as promises or not, and propose more fine-grained two-by-two typology inspired by idea that lying aversion leads defectors to prefer are malleable ex-post interpretation truths. Our empirical analysis shows carry an element conditionality...

A major issue in the widespread controversy about legality of poker and appropriate taxation winnings is whether should be considered a game skill or chance. To inform this debate we present an analysis into role performance online players, using large database with hundreds millions player-hand observations from real money ring games at three different stakes levels. We find that players whose earlier profitability was top (bottom) deciles perform better (worse) are substantially more...

This paper examines how risk behavior in the limelight differs from that anonymity. In two separate experiments, we find subjects are more averse limelight. However, risky choices similarly path dependent different treatments. Under both and anonymous laboratory conditions, a simple prospect theory model with path-dependent reference point provides better explanation for subjects' than flexible specification of expected utility theory. addition, our findings suggest ambiguity aversion...

Berger and Pope (2011) show that being slightly behind increases the likelihood of winning in professional (National Basketball Association; NBA) collegiate Collegiate Athletic NCAA) basketball. We extend their analysis to large samples Australian football, American rugby matches, but find no evidence such an effect for these three sports. When we revisit phenomenon basketball, only supportive NBA matches from period analyzed . There is significant outside this sample period, NCAA or Women’s...

This paper introduces the Prince incentive system for measuring preferences. is a variation of random that enhances isolation and makes compatibility more transparent to subjects. It allows precise direct elicitation indifference values as with matching while having clarity validity choice lists. avoids opaqueness Becker-DeGroot-Marschak's mechanism precludes strategic behavior in adaptive experiments. Using Prince, we shed new light on willingness accept major components decision under...

We examine high stakes three-person bargaining in a game show where contestants bargain over large money amount that is split into three unequal shares. find individual behavior and outcomes are strongly influenced by equity concerns: those who contributed more to the jackpot claim larger shares, less likely make concessions, take home amounts. Contestants announce they will not back down do well relative others, but secure absolute amounts harm others. There no evidence of first-mover...

Abstract We explore people’s preferences for numbers in large proprietary data sets from two different lottery games. find that choice is far uniform, and exhibits some familiar new tendencies biases. Players favor personally meaningful situationally available numbers, are attracted towards the center of form. Frequent players avoid winning recent draws, whereas infrequent chase these. Combinations formed with an eye aesthetics, tend to spread their relatively evenly across possible range.

We examine high-stakes strategic choice using more than 40 years of data from the American TV game show The Price Is Right. In every episode, contestants play Showcase Showdown, a sequential perfect information for which optimal strategy can be found through backward induction. find that systematically deviate subgame Nash equilibrium. These departures optimality are well explained by modified agent quantal response model allows limited foresight. results suggest many simplify decision...

Peer punishment is widely considered a key mechanism supporting cooperation in human groups. Although much research shows that behavior shaped by the prevailing social norms, little known about how decisions are impacted context. We present set of large-scale incentivized experiments which participants (999 American recruited via Amazon Mechanical Turk) could punish their partner conditional on either level or displayed others who previously interacted same setting. While many independently...

Game-theoretic models of network formation typically assume that people create relations so as to maximize their own outcome in the network. Recent experiments on suggest assumption self-interest might be unwarranted and social preferences, such altruism inequality aversion, play a role networks. We developed an experiment systematically investigate whether show preferences for outcomes others during formation. find when decisions degenerate simple two-person decision tasks. In more complex...

We explore people’s preferences for numbers in large proprietary data sets from two different lottery games. find that choice is far uniform, and exhibits some familiar new tendencies biases. Players favor personally meaningful situationally available numbers, are attracted towards the center of form. Frequent players avoid winning recent draws, whereas infrequent chase these. Combinations formed with an eye aesthetics, tend to spread their relatively evenly across possible range.

We examine gender differences in willingness to compete, using data from a TV game show where the winner of an elimination competition expectation wins hundreds thousands euros. At several stages this competition, contestants face choice between continuing compete and opting out exchange for comparatively modest prize. When there is no strategic interaction, we observe well-known pattern that women less than men, but difference derives entirely avoiding against men. interaction should factor...

We propose simple behavioral definitions of comparative uncertainty aversion for a single agent towards different sources uncertainty. Our allow the comparison utility curvature if agent's choices satisfy subjective expected each source. discuss how our can be applied to investigate ambiguity in Klibanoff et al.'s (Econometrica 73(6):1849–1892, 2005) smooth model, study effects learning and situational factors on preferences, compare preferences between agents.

Abstract We demonstrate that a person's eye gaze and his/her competitiveness are closely intertwined in social decision making. In an exploratory examination of this relationship, Study 1 uses field data from high‐stakes TV game show to the frequency by which contestants at their opponent's eyes predicts defection variant on prisoner's dilemma. Studies 2 3 use experiments examine underlying causality relationship between gazing competitive behavior is bi‐directional. 2, fixation eyes,...