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Cognitive ability and the effect of strategic uncertainty

Abstract : How is one's cognitive ability related to the way one responds to strategic uncertainty? We address this question by conducting a set of experiments in simple 2 × 2 dominance solvable coordination games. Our experiments involve two main treatments: one in which two human subjects interact, and another in which one human subject interacts with a computer program whose behavior is known. By making the behavior of the computer perfectly predictable, the latter treatment eliminates strategic uncertainty. We find that subjects with higher cognitive abilities are more sensitive to strategic uncertainty than those with lower cognitive abilities.
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https://halshs.archives-ouvertes.fr/halshs-01095897
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Submitted on : Tuesday, December 16, 2014 - 2:19:52 PM
Last modification on : Friday, April 29, 2022 - 10:13:02 AM
Long-term archiving on: : Saturday, April 15, 2017 - 9:10:18 AM

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WP 2014 - Nr 58.pdf
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  • HAL Id : halshs-01095897, version 1

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Nobuyuki Hanaki, Nicolas Jacquemet, Stéphane Luchini, Adam Zylbersztejn. Cognitive ability and the effect of strategic uncertainty. 2014. ⟨halshs-01095897⟩

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