EXPERIMENTAL RESULTS ON ULTIMATUM GAMES WITH INCOMPLETE INFORMATION

This paper is about experiments on two versions of ultimatum games wit h incomplete information, called the offer game and the demand game. W e apply the strategy method, that is, each subject had to design a com plete strategy in advance instead of reacting spontaneously to a situa tion which occurs in the game. Game theory predicts very similar outco mes for the offer and the demand games. Our experiments, however, show significant differences in behavior between both games. Using the str ategy method, allows us to explore the motivations leading to those di fferences. Since each subject played the same version of the game eigh t rounds against changing anonymous opponents we can also study subjec ts' learning behavior. We propose a theory of boundedly rational behav ior, called the ''anticipation philosophy'', which is well supported b y the experimental data.