A behavioral study of bargaining in social networks

  • Authors:
  • Tanmoy Chakraborty;Stephen Judd;Michael Kearns;Jinsong Tan

  • Affiliations:
  • University of Pennsylvania, Philadelphia, PA, USA;University of Pennsylvania, Philadelphia, PA, USA;University of Pennsylvania, Philadelphia, PA, USA;University of Pennsylvania, Philadelphia, PA, USA

  • Venue:
  • Proceedings of the 11th ACM conference on Electronic commerce
  • Year:
  • 2010

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Abstract

We report on a series of highly controlled human subject experiments in networked bargaining. The basic interaction between two players is the decision of how to share a mutual payment; we extend this to situate the players in a network. Various theories predict, to different levels of uniqueness, what the shares will be. We analyze our experimental results from three points of view: social efficiency, nodal differences, and human differences; and contrast our behavioral results with the theories.