The Minority of Three-Game

Chmura, Thorsten; Güth, Werner (2011): The Minority of Three-Game. An Experimental and Theoretical Analysis. In: Games, Vol. 2, No. 3: pp. 333-354

Abstract

We report experimental results on the minority of three-game, where three players choose one of two alternatives and the most rewarding alternative is the one chosen by a single player. This coordination game has many asymmetric equilibria in pure strategies that are non-strict and payoff-asymmetric and a unique symmetric mixed strategy equilibrium in which each player’s behavior is based on the toss of a fair coin. This straightforward behavior is predicted by equilibrium selection, impulse-balance equilibrium, and payoff-sampling equilibrium. Experimental participants rely on various decision rules, and only a quarter of them perfectly randomize.

• Item Type: Journal article
• Form of publication: Publisher's Version
• Keywords: coordination; minority game; mixed strategy; learning models; experiments
• Faculties: Economics > Chairs > Seminar for Economic Theory
• Subjects: 300 Social sciences > 330 Economics
• ISSN: 2073-4336
• Language: English