The Ultimatum Game Case

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The Ultimatum Game Developed in 1982 by Werner Guth and associates, the Ultimatum Game is a straightforward, take-it-or-leave-it negotiation setting. Ultimatum experiments include pairing up two individuals, one as the proposer and the other as the responder, at random and in secret. They are then instructed to play the game exactly once. The proposer offers her respondent and herself a portion of the money that she has been endowed with. After considering the proposal, the respondent selects whether to accept it or reject it. Both receive the sum that the proposal implies if the division is approved. In the event of rejection, neither the proposer nor the respondent receives payment for the experiment (Jeung et al., 2016). I printed Canadian …show more content…
In addition, if the proposer's offer was lower than what was deemed acceptable, they would risk losing money. Social norms and fairness provide a plausible explanation for the trend in the Ultimatum Game. Being social creatures, humans have evolved to live in groups and depend on one another to survive. People are sensitive to perceived unfairness, and fairness is a key component of human interactions. Rejecting or accepting an offer in the Ultimatum Game depends on how fair the respondent thinks the offer is. Offers with a large percentage below 50%, for example, are likely to be rejected since they are unfair. The motivation to punish inequalities and uphold societal standards of reciprocity and fairness can account for this behavior. We want fairness in all we do because, as evolved beings, humans prefer equality. It's possible that those who are more sensitive to unfairness and are prepared to turn down unfair offers had an advantage in ancestral environments from an evolutionary standpoint. Fairness and cooperation among social groups may be upheld by disciplining unfair behavior. More cohesiveness and cooperation within the group may result from this. Because it fosters collaboration and deters exploitation within social groupings, this behavior may have been chosen throughout time. Being cooperative and fair is a good quality for group dynamics and
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