We collect data from symmetric and asymmetric coordination games with a focal point and vary the stake size. The data show that in symmetric games coordination on the label-salient strategy increases with stake size. By contrast, in asymmetric games the coordination rates do not vary with stake size and are close to the levels predicted by both the mixed Nash equilibrium and the level-kmodel used by Crawford et al.(2008). These findings suggest that players’ mode of reasoning, and the extent to which it can be explained by team reasoning or a level-kmodel, crucially depends on the symmetry or asymmetry of the coordination payoffs.
|Number of pages||9|
|Journal||Games and Economic Behavior|
|Early online date||8 May 2015|
|Publication status||Published - Nov 2015|
- Stake size
- Payoff asymmetry
- Focal point