Beliefs and endogenous cognitive levels: An experimental study

Marina Agranov; Elizabeth Potamites; Andrew Schotter; Chloe Tergiman

doi:10.1016/j.geb.2012.02.002

Beliefs and endogenous cognitive levels: An experimental study

Marina Agranov, Elizabeth Potamites, Andrew Schotter, Chloe Tergiman

Research output: Contribution to journal › Article › peer-review

Abstract

In this paper we use a laboratory setting to manipulate our subjects' beliefs about the cognitive levels of the players they are playing against. We show that in the context of the 2/3 guessing game, individual choices crucially depend on their beliefs about the level of others. Hence, a subject's true cognitive level may be different than the one he exhibits in a game with the difference being attributed to his expectations about the sophistication of the players he is playing against.

Original language	English (US)
Pages (from-to)	449-463
Number of pages	15
Journal	Games and Economic Behavior
Volume	75
Issue number	2
DOIs	https://doi.org/10.1016/j.geb.2012.02.002
State	Published - Jul 2012

Keywords

Beliefs
Guessing game
Level-k theory

ASJC Scopus subject areas

Finance
Economics and Econometrics

Access to Document

10.1016/j.geb.2012.02.002

Cite this

@article{90da76eed9e14e1eafc9a94121c43b10,

title = "Beliefs and endogenous cognitive levels: An experimental study",

abstract = "In this paper we use a laboratory setting to manipulate our subjects' beliefs about the cognitive levels of the players they are playing against. We show that in the context of the 2/3 guessing game, individual choices crucially depend on their beliefs about the level of others. Hence, a subject's true cognitive level may be different than the one he exhibits in a game with the difference being attributed to his expectations about the sophistication of the players he is playing against.",

keywords = "Beliefs, Guessing game, Level-k theory",

author = "Marina Agranov and Elizabeth Potamites and Andrew Schotter and Chloe Tergiman",

note = "Funding Information: We thank the Center for Experimental Social Sciences (CESS) at New York University for providing the financial support for this study. We also thank Colin Camerer, Giorgio Coricelli, Vincent Crawford, Nagore Iriberri, Rosemarie Nagel and Stefan Penczynski for very helpful comments.",

year = "2012",

month = jul,

doi = "10.1016/j.geb.2012.02.002",

language = "English (US)",

volume = "75",

pages = "449--463",

journal = "Games and Economic Behavior",

issn = "0899-8256",

publisher = "Academic Press Inc.",

number = "2",

}

TY - JOUR

T1 - Beliefs and endogenous cognitive levels

T2 - An experimental study

AU - Agranov, Marina

AU - Potamites, Elizabeth

AU - Schotter, Andrew

AU - Tergiman, Chloe

N1 - Funding Information: We thank the Center for Experimental Social Sciences (CESS) at New York University for providing the financial support for this study. We also thank Colin Camerer, Giorgio Coricelli, Vincent Crawford, Nagore Iriberri, Rosemarie Nagel and Stefan Penczynski for very helpful comments.

PY - 2012/7

Y1 - 2012/7

N2 - In this paper we use a laboratory setting to manipulate our subjects' beliefs about the cognitive levels of the players they are playing against. We show that in the context of the 2/3 guessing game, individual choices crucially depend on their beliefs about the level of others. Hence, a subject's true cognitive level may be different than the one he exhibits in a game with the difference being attributed to his expectations about the sophistication of the players he is playing against.

AB - In this paper we use a laboratory setting to manipulate our subjects' beliefs about the cognitive levels of the players they are playing against. We show that in the context of the 2/3 guessing game, individual choices crucially depend on their beliefs about the level of others. Hence, a subject's true cognitive level may be different than the one he exhibits in a game with the difference being attributed to his expectations about the sophistication of the players he is playing against.

KW - Beliefs

KW - Guessing game

KW - Level-k theory

UR - http://www.scopus.com/inward/record.url?scp=84860633933&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84860633933&partnerID=8YFLogxK

U2 - 10.1016/j.geb.2012.02.002

DO - 10.1016/j.geb.2012.02.002

M3 - Article

AN - SCOPUS:84860633933

SN - 0899-8256

VL - 75

SP - 449

EP - 463

JO - Games and Economic Behavior

JF - Games and Economic Behavior

IS - 2

ER -

Beliefs and endogenous cognitive levels: An experimental study

Abstract

Keywords

ASJC Scopus subject areas

Access to Document

Other files and links

Fingerprint

Cite this