# The ultimatum game: An experimental economics poll

**URL:** <https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414>\
**Category:** In My Humble Opinion\
**Created:** [July 29, 2010, 3:34am UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414 "2010-07-29T03:34:44Z")\
**Posts on this page:** 20\
**Page:** 2

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**Author:** ![Pleonast](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/pleonast/32/1183_2.png) [@Pleonast](https://boards.straightdope.com/u/Pleonast)\
**Post date:** [July 29, 2010, 3:50pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/21 "2010-07-29T15:50:21Z")

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This game is more interesting if the stakes are increased. People are more willing to play as a spoiler if the sums are small. It’s not hard to reject $100 out of $1000. Many people would be willing to give up that amount as a matter of principle. Thus, most offers will be closer to fair for smaller sums.

If the game is to split $1,000,000, and you are offered $100,000 of it, how many of you would reject that? That’s a large sum to forgo in order to make a point. This means the offerer can likely get away with a less even division.

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**Author:** ![septimus](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/septimus/32/410_2.png) [@septimus](https://boards.straightdope.com/u/septimus)\
**Post date:** [July 29, 2010, 3:51pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/22 "2010-07-29T15:51:40Z")

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> [@MsWhatsit](#):
>
> > [@septimus](#):
> >
> > (2) Isn’t 501-999 an overly broad range?
> 
> Not really. The poll choices could just as easily have read, “take less for yourself,” “equal split,” and “take more for yourself.”

Sorry to quibble, but I consider “501-999” and “take more for yourself” synonymous here. I would have had the same reaction to the latter phrasing, though perhaps phrasing my objection differently.

To be clear, a 550-450 splitter seems to me to be almost in the 500-500 camp, while a 950-50 splitter is more like 999-1 (which _was_ singled out).

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**Author:** ![MsWhatsit](https://avatars.discourse-cdn.com/v4/letter/m/eb8c5e/32.png) [@MsWhatsit](https://boards.straightdope.com/u/MsWhatsit)\
**Post date:** [July 29, 2010, 3:52pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/23 "2010-07-29T15:52:43Z")

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Er, yes, that was my point, that they are synonymous terms.

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**Author:** ![Oakminster](https://avatars.discourse-cdn.com/v4/letter/o/77aa72/32.png) [@Oakminster](https://boards.straightdope.com/u/Oakminster)\
**Post date:** [July 29, 2010, 3:56pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/24 "2010-07-29T15:56:53Z")

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I’d offer $500. Going halfsies seems fair to me, and $500 is nothing to sneeze at, even though it is not a life changing sum.

If I knew the deal and I was the offeree, I’d accept whatever was offered. It’s free money to me. I happen to be more fortunate in financial matters than most of my friends, so if they take the larger part of the free money, they probably need it more than I do.

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**Author:** ![septimus](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/septimus/32/410_2.png) [@septimus](https://boards.straightdope.com/u/septimus)\
**Post date:** [July 29, 2010, 3:57pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/25 "2010-07-29T15:57:53Z")

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> [@MsWhatsit](#):
>
> Er, yes, that was my point, that they are synonymous terms.

Er, yes. That that was your point was rather explicitly stated! My point is that it was obvious to me too.

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**Author:** ![Really\_Not\_All\_That\_Bright](https://avatars.discourse-cdn.com/v4/letter/r/e8c25b/32.png) [@Really\_Not\_All\_That\_Bright](https://boards.straightdope.com/u/Really_Not_All_That_Bright)\
**Post date:** [July 29, 2010, 3:58pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/26 "2010-07-29T15:58:19Z")

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I answered $500 each, but that’s assuming I _know_ the other person. If it’s a total stranger, I’ll eyeball them and pick the smallest number I think they’d accept. **Palooka** ’s $100 sounds about right, generally.

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**Author:** ![MsWhatsit](https://avatars.discourse-cdn.com/v4/letter/m/eb8c5e/32.png) [@MsWhatsit](https://boards.straightdope.com/u/MsWhatsit)\
**Post date:** [July 29, 2010, 4:00pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/27 "2010-07-29T16:00:19Z")

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> [@septimus](#):
>
> Er, yes. That that was your point was rather explicitly stated! My point is that it was obvious to me too.

I feel we are somehow managing to agree and not agree, simultaneously. 🙂 I am going to back away slowly now, and pretend this never happened.

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**Author:** ![MeanOldLady](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/meanoldlady/32/10737_2.png) [@MeanOldLady](https://boards.straightdope.com/u/MeanOldLady)\
**Post date:** [July 29, 2010, 4:08pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/28 "2010-07-29T16:08:27Z")

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What **Whatsit** said.

My original thought was something like $600 for me, because even though that’s unfair, a 60/40 split is still good enough that I think the average person would take it. If it were something like $980 for me, I’m certain the person would go, “Fuck you, lady,” and leave it in order to punish me for being such a selfish bitch. Sure it would be a free $20, but it’s worth leaving it in order to stick it to me. That’s how I would react. I’d take $400 if I were the other person. I’d think to myself “Greedy little shit,” I’d take it. I would reject something stupid like $20 just to send the message that the other person is an asshole. There are some people, though, who I think would reject anything short of half in order to punish the other person for being greedy.

So $500 is something I think any reasonable person would agree to. Plus, really, it’s just fair.

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**Author:** ![Really\_Not\_All\_That\_Bright](https://avatars.discourse-cdn.com/v4/letter/r/e8c25b/32.png) [@Really\_Not\_All\_That\_Bright](https://boards.straightdope.com/u/Really_Not_All_That_Bright)\
**Post date:** [July 29, 2010, 4:29pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/29 "2010-07-29T16:29:05Z")

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I hope all you $500 people make sure to give me half if you ever win the lottery. I mean, it’s only fair. 😉

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**Author:** ![Giles](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/giles/32/60_2.png) [@Giles](https://boards.straightdope.com/u/Giles)\
**Post date:** [July 29, 2010, 4:36pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/30 "2010-07-29T16:36:57Z")

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> [@Really\_Not\_All\_That\_Bright](#):
>
> I hope all you $500 people make sure to give me half if you ever win the lottery. I mean, it’s only fair. 😉

Not really. The only totally fair thing is to divide it by the number of people in the world, and share it with everyone. Why are you special?

However, the deal with winning the lottery doesn’t include sharing with anyone (unless they paid a share of the winning ticket), so I wouldn’t share with anyone – except, perhaps, my wife & children if the prize were big enough.

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**Author:** ![Really\_Not\_All\_That\_Bright](https://avatars.discourse-cdn.com/v4/letter/r/e8c25b/32.png) [@Really\_Not\_All\_That\_Bright](https://boards.straightdope.com/u/Really_Not_All_That_Bright)\
**Post date:** [July 29, 2010, 4:46pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/31 "2010-07-29T16:46:50Z")

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The deal with the OP’s hypothetical doesn’t involve sharing _half_ with anyone, just that you share some.

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**Author:** ![Oakminster](https://avatars.discourse-cdn.com/v4/letter/o/77aa72/32.png) [@Oakminster](https://boards.straightdope.com/u/Oakminster)\
**Post date:** [July 29, 2010, 4:50pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/32 "2010-07-29T16:50:12Z")

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> [@Really\_Not\_All\_That\_Bright](#):
>
> The deal with the OP’s hypothetical doesn’t involve sharing _half_ with anyone, just that you share some.

Yeah, but we’re only talking about a thousand bucks. That’s a sum that would be nice to have, but not particularly significant in a life-changing way. It’s a nice gaming laptop, or a mortgage payment/car payment, or a long weekend somewhere nice but not a casino so they don’t comp stuff. It’s not a big deal.

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**Author:** ![NinetyWt](https://avatars.discourse-cdn.com/v4/letter/n/cc9497/32.png) [@NinetyWt](https://boards.straightdope.com/u/NinetyWt)\
**Post date:** [July 29, 2010, 4:52pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/33 "2010-07-29T16:52:19Z")

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> [@Loisseau](#):
>
> Because the second person can make sure that no one gets anything, the 50/50 split is the only sensible offer that maximizes the return for both parties.

This is my thinking. Offering 50/50 gives a greater chance that the offer won’t be rejected.

As the “buddy” I’d accept $50 and up, because, hey, free money. (Less than $50 isn’t worth fooling with).

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**Author:** ![MeanOldLady](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/meanoldlady/32/10737_2.png) [@MeanOldLady](https://boards.straightdope.com/u/MeanOldLady)\
**Post date:** [July 29, 2010, 4:52pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/34 "2010-07-29T16:52:26Z")

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Plus it’s not even close to the same thing. It would be if, say, the lottery board decided to just give you the money without having actually purchased a ticket, but only if you agreed to this bizarre method of administering it. But still, hey **R** , if I ever win the lottery, I’ll give you half.

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**Author:** ![Really\_Not\_All\_That\_Bright](https://avatars.discourse-cdn.com/v4/letter/r/e8c25b/32.png) [@Really\_Not\_All\_That\_Bright](https://boards.straightdope.com/u/Really_Not_All_That_Bright)\
**Post date:** [July 29, 2010, 5:00pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/35 "2010-07-29T17:00:42Z")

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And to think, people said the Board subscription fee wasn’t worth it!

ETA: Does Minnesota _have_ a lottery?

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**Author:** ![Dewey\_Finn](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/dewey_finn/32/4222_2.png) [@Dewey\_Finn](https://boards.straightdope.com/u/Dewey_Finn)\
**Post date:** [July 29, 2010, 5:01pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/36 "2010-07-29T17:01:57Z")

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> [@Voyager](#):
>
> Not answering since my daughter is working on a PhD in this area, and we jointly teach a class using these topics as applied to engineering.

Hijack: I’m curious how this hypothetical applies in engineering. Can you give more details?

And as for the OP: I’d go for 50/50, just out of a sense of fairness.

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**Author:** ![MeanOldLady](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/meanoldlady/32/10737_2.png) [@MeanOldLady](https://boards.straightdope.com/u/MeanOldLady)\
**Post date:** [July 29, 2010, 5:06pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/37 "2010-07-29T17:06:42Z")

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> [@Really\_Not\_All\_That\_Bright](#):
>
> And to think, people said the Board subscription fee wasn’t worth it!
> 
> ETA: Does Minnesota _have_ a lottery?

I dunno, probably. I never play. Still, I haven’t given up hope! I can still win and share the wealth!

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**Author:** ![Really\_Not\_All\_That\_Bright](https://avatars.discourse-cdn.com/v4/letter/r/e8c25b/32.png) [@Really\_Not\_All\_That\_Bright](https://boards.straightdope.com/u/Really_Not_All_That_Bright)\
**Post date:** [July 29, 2010, 5:18pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/38 "2010-07-29T17:18:06Z")

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> [@Dewey\_Finn](#):
>
> > [@Voyager](#):
> >
> > Not answering since my daughter is working on a PhD in this area, and we jointly teach a class using these topics as applied to engineering.
> 
> Hijack: I’m curious how this hypothetical applies in engineering. Can you give more details?

I’m guessing it has implications for things like crowd control, where multiple queues converge into one, or vice versa.

ETA: _shakes first at **MOL** _

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**Author:** ![Mangetout](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/mangetout/32/19_2.png) [@Mangetout](https://boards.straightdope.com/u/Mangetout)\
**Post date:** [July 29, 2010, 5:26pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/39 "2010-07-29T17:26:59Z")

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50/50. Game theory be damned - I like things to be fair and square.

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**Author:** ![Really\_Not\_All\_That\_Bright](https://avatars.discourse-cdn.com/v4/letter/r/e8c25b/32.png) [@Really\_Not\_All\_That\_Bright](https://boards.straightdope.com/u/Really_Not_All_That_Bright)\
**Post date:** [July 29, 2010, 5:42pm UTC](https://boards.straightdope.com/t/the-ultimatum-game-an-experimental-economics-poll/548414/40 "2010-07-29T17:42:26Z")

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> [@Oakminster](#):
>
> Yeah, but we’re only talking about a thousand bucks. That’s a sum that would be nice to have, but not particularly significant in a life-changing way. It’s a nice gaming laptop, or a mortgage payment/car payment, or a long weekend somewhere nice but not a casino so they don’t comp stuff. It’s not a big deal.

Well, it’s not a “particularly significant” sum to _you_, but it’s four months’ rent for some Americans, and three years’ income to people in some other countries.

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