LEARNING-BEHAVIOR IN AN EXPERIMENTAL MATCHING PENNIES GAME

Two groups containing 10 pairs Of Players each playing a finitely repe ated matching pennies game were varied in terms of the information ava ilable to any player about past choices and payoffs of its opponent. T he data reveals that presentation of such information does have a sign ificant effect on the nature of play. For subjects without information about opponents' moves, there is evidence in favor of the hypothesis that past experience with different choices in the past affect current strategy. For fully informed subjects, on the other hand, choices are considerably closer to i.i.d. play. Journal of Economic Literature Cl assification Numbers: C72, C92. (C) 1994 Academic Press, Inc.