The strategy versus the direct-response method: a first survey of experimental comparisons

In this paper, we present a first survey of the literature regarding whether the strategy method, in which a responder makes conditional decisions for each possible information set, leads to different experimental results than does the more standard direct-response method, in which the responder lea...

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Veröffentlicht in:	Experimental economics : a journal of the Economic Science Association Jg. 14; H. 3; S. 375 - 398
Hauptverfasser:	Brandts, Jordi, Charness, Gary
Format:	Journal Article
Sprache:	Englisch
Veröffentlicht:	Boston Springer US 01.09.2011 Springer Science + Business Media B.V Springer Springer Nature B.V
Schriftenreihe:	Experimental Economics
Schlagworte:	B49 Behavioral/Experimental Economics C79 C90 C91 C92 Comparative analysis Decision analysis Decision making Determinants Economic theory Economic Theory/Quantitative Economics/Mathematical Methods Economics Economics and Finance Elicitation Experimental methods Experiments Framing Game Theory Games Learning Methods Microeconomics Operations Research/Decision Theory Polls & surveys Punishment Responses Social and Behav. Sciences Strategic behaviour Strategies Strategy method Studies Surveys Strategy method C79 B49 Elicitation C91 C90 Framing Experiments C92
ISSN:	1386-4157, 1573-6938
Online-Zugang:	Volltext
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Abstract	In this paper, we present a first survey of the literature regarding whether the strategy method, in which a responder makes conditional decisions for each possible information set, leads to different experimental results than does the more standard direct-response method, in which the responder learns the action of the first mover and then chooses a response. Of the twenty-nine existing comparisons, sixteen find no difference, while four do find differences, and nine comparisons find mixed evidence. We also find some indications about the underlying determinants of when the two methods lead to different responses. For example, it appears that levels of punishment are substantially lower with the strategy method. In addition, it also appears that difference across these elicitation methods are more likely when people make fewer contingent choices. Finally, in no case do we find that a treatment effect found with the strategy method is not observed with the direct-response method.
AbstractList	In this paper, we present a first survey of the literature regarding whether the strategy method, in which a responder makes conditional decisions for each possible information set, leads to different experimental results than does the more standard direct-response method, in which the responder learns the action of the first mover and then chooses a response. Of the twenty-nine existing comparisons, sixteen find no difference, while four do find differences, and nine comparisons find mixed evidence. We also find some indications about the underlying determinants of when the two methods lead to different responses. For example, it appears that levels of punishment are substantially lower with the strategy method. In addition, it also appears that difference across these elicitation methods are more likely when people make fewer contingent choices. Finally, in no case do we find that a treatment effect found with the strategy method is not observed with the direct-response method .[PUBLICATION ABSTRACT] In this paper, we present a first survey of the literature regarding whether the strategy method, in which a responder makes conditional decisions for each possible information set, leads to different experimental results than does the more standard direct-response method, in which the responder learns the action of the first mover and then chooses a response. Of the twenty-nine existing comparisons, sixteen find no difference, while four do find differences, and nine comparisons find mixed evidence. We also find some indications about the underlying determinants of when the two methods lead to different responses. For example, it appears that levels of punishment are substantially lower with the strategy method. In addition, it also appears that difference across these elicitation methods are more likely when people make fewer contingent choices. Finally, in no case do we find that a treatment effect found with the strategy method is not observed with the direct-response method. In this paper, we present a first survey of the literature regarding whether the strategy method, in which a responder makes conditional decisions for each possible information set, leads to different experimental results than does the more standard direct-response method, in which the responder learns the action of the first mover and then chooses a response. Of the twenty-nine existing comparisons, sixteen find no difference, while four do find differences, and nine comparisons find mixed evidence. We also find some indications about the underlying determinants of when the two methods lead to different responses. For example, it appears that levels of punishment are substantially lower with the strategy method. In addition, it also appears that difference across these elicitation methods are more likely when people make fewer contingent choices. Finally, in no case do we find that a treatment effect found with the strategy method is not observed with the direct-response method. Reprinted by permission of Springer
Author	Brandts, Jordi Charness, Gary
Author_xml	– sequence: 1 givenname: Jordi surname: Brandts fullname: Brandts, Jordi organization: Department of Business Economics, U. Autònoma de Barcelona and Institut d’Anàlisi Econòmica – sequence: 2 givenname: Gary surname: Charness fullname: Charness, Gary email: charness@econ.ucsb.edu organization: Department of Economics, University of California
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Snippet	In this paper, we present a first survey of the literature regarding whether the strategy method, in which a responder makes conditional decisions for each...
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SubjectTerms	B49 Behavioral/Experimental Economics C79 C90 C91 C92 Comparative analysis Decision analysis Decision making Determinants Economic theory Economic Theory/Quantitative Economics/Mathematical Methods Economics Economics and Finance Elicitation Experimental methods Experiments Framing Game Theory Games Learning Methods Microeconomics Operations Research/Decision Theory Polls & surveys Punishment Responses Social and Behav. Sciences Strategic behaviour Strategies Strategy method Studies Surveys
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Title	The strategy versus the direct-response method: a first survey of experimental comparisons
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