LEARNING AND DECISION COSTS IN EXPERIMENTAL CONSTANT SUM GAMES

Subjects played strategically similar 4 x 4 and 6 x 6 constant sum gam es under varying payoff scales. Substantial divergences from equilibri um predictions were exhibited. The dynamic pattern of play is best exp lained by a stimulus learning model whereby players allocate weight to different actions according to their relative (time average) payoff e xperience in past plays. The results do not provide much support for t he hypothesis that players select best responses to beliefs about oppo nent play based on observed choice frequencies in past plays, modified by random errors or preference shocks. (C) 1997 Academic Press.