Skip to main content
Article thumbnail
Location of Repository

The …rst two authors, Joseph Tao-yi Wang and Robert Östling, contributed equally to this paper. We

By Robert Östling, Joseph Tao-yi, Wang Eileen Chou, Colin F. Camerer, Erik Lindqvist, Stefan Molin, Noah Myung, Rosemarie Nagel, Charles Noussair and Carsten Schmidt


In the lowest unique positive integer (LUPI) game, players pick positive integers and the player who chose the lowest unique number (not chosen by anyone else) wins a …xed prize. We derive theoretical equilibrium predictions, assuming fully rational players with Poisson-distributed uncertainty about the number of players. We also derive predictions for boundedly rational players using quantal response equilibrium and a cognitive hierarchy of rationality steps with quantal responses. The theoretical predictions are tested using both …eld data from a Swedish gambling company, and laboratory data from a scaled-down version of the …eld game. The …eld and lab data show similar patterns: in early rounds, players choose very low and very high numbers too often, and avoid focal (“round”) numbers. However, there is some learning and a surprising degree of convergence toward equilibrium. The cognitive hierarchy model with quantal responses ca

Year: 2013
OAI identifier: oai:CiteSeerX.psu:
Provided by: CiteSeerX
Download PDF:
Sorry, we are unable to provide the full text but you may find it at the following location(s):
  • (external link)
  • Suggested articles

    To submit an update or takedown request for this paper, please submit an Update/Correction/Removal Request.