An Experimental Analysis of Two-Person Reciprocity Games

Abstract

This paper presents experimental evidence concerned with behavior in one-shot, finite repetition, and infinite repetition, two-person Reciprocity Games. Both symmetric and asymmetric games as well as games with explicit punishment actions are studied and compared. Along with classifying the group outcomes to the games, individual strategies are classified. The importance of alternation or turn-taking, group welfare, and equality as focal solutions is examined. Also considered is whether or not outcomes are unique, Pareto Optimal, or individually rational, and whether or not finite repetition treatments are subject to end-game effects.