Competition in the Ultimatum Game

4.12 of The Economy 1.0 & The Economy #3

With the ultimatum game, how does increasing the number of responders affect the outcome?

-More responders means that the competition has increased. Thus, meaning that a change in the minimum acceptable offer will occur, as this graph perfectly shows.

Why does such a drastic fall in rejection occur when competition increases?

-A responder rejecting a low offer means that the responder will get nothing. But because there are multiple Responders, the other responder may accept.

-Therefore, because Responders lose the power to control, they need to change their behaviour.

-Showcases how changes in the rules of the game matters a lot,

Lmao

Lmao

Lmao

Lmao