Gender differences in ultimatum games: despite rather than due to risk attitudes

We analyze experimental data obtained from an ultimatum game framed as a situation of employee-employer negotiation over salaries. Parallel to this, we elicit subjects' risk attitudes. In the existing literature, it has often been conjectured that gender differences in strategic environments are partly due to differences in risky decision making. Our evidence suggests that both gender and risk-related effects co-exist in ultimatum bargaining. However, differences in risk attitudes cannot explain gender effects in ultimatum bargaining.

Bargaining over strategies of non-cooperative games

We propose a bargaining process supergame over the strategies to play in a non-cooperative game. The agreement reached by players at the end of the bargaining process is the strategy profile that they will play in the original non-cooperative game. We analyze the subgame perfect equilibria of this supergame, and its implications on the original game. We discuss existence, uniqueness, and efficiency of the agreement reachable through this bargaining process. We illustrate the consequences of applying such a process to several common two-player non-cooperative games: the Prisoner’s Dilemma, the Hawk-Dove Game, the Trust Game, and the Ultimatum Game. In each of them, the proposed bargaining process gives rise to Pareto-efficient agreements that are typically different from the Nash equilibrium of the original games.

Turing Test: Mindless Game?

The Turing Test, originally configured for a human to distinguish between an unseen man and unseen woman through a text-based conversational measure of gender, is the ultimate test for thinking. So conceived Alan Turing when he replaced the woman with a machine. His assertion, that once a machine deceived a human judge into believing that they were the human, then that machine should be attributed with intelligence. But is the Turing Test nothing more than a mindless game? We present results from recent Loebner Prizes, a platform for the Turing Test, and find that machines in the contest appear conversationally worse rather than better, from 2004 to 2006, showing a downward trend in highest scores awarded to them by human judges. Thus the machines are not thinking in the same way as a human intelligent entity would.

Psychophysiological responses to appraisal dimensions in a computer game

A computer game was used to study psychophysiological reactions to emotion-relevant events. Two dimensions proposed by Scherer (1984a, 1984b) in his appraisal theory, the intrinsic pleasantness and goal conduciveness of game events, were studied in a factorial design. The relative level at which a player performed at the moment of an event was also taken into account. A total of 33 participants played the game while cardiac activity, skin conductance, skin temperature, and muscle activity as well as emotion self-reports were assessed. The self-reports indicate that game events altered levels of pride, joy, anger, and surprise. Goal conduciveness had little effect on muscle activity but was associated with significant autonomic effects, including changes to interbeat interval, pulse transit time, skin conductance, and finger temperature. The manipulation of intrinsic pleasantness had little impact on physiological responses. The results show the utility of attempting to manipulate emotion-constituent appraisals and measure their peripheral physiological signatures.

KQQKQQ and the Kasparov-World Game

The 1999 Kasparov-World game for the first time enabled anyone to join a team playing against a World Chess Champion via the web. It included a surprise in the opening, complex middle-game strategy and a deep ending. As the game headed for its mysterious finale, the World Team re-quested a KQQKQQ endgame table and was provided with two by the authors. This paper describes their work, compares the methods used, examines the issues raised and summarises the concepts involved for the benefit of future workers in the endgame field. It also notes the contribution of this endgame to chess itself.

Using bargaining-game theory for negotiating concession period for BOT-type contract

This paper extends the build-operate-transfer (BOT) concession model (BOTCcM) to a new method for identifying a concession period by using bargaining-game theory. Concession period is one of the most important decision variables in arranging a BOT-type contract, and there are few methodologies available for helping to determine the value of this variable. The BOTCcM presents an alternative method by which a group of concession period solutions are produced. Nevertheless, a typical weakness in using BOTCcM is that the model cannot recommend a specific time span for concessionary. This paper introduces a new method called BOT bargaining concession model (BOTBaC) to enable the identification of a specific concession period, which takes into account the bargaining behavior of the two parties concerned in engaging a BOT contract, namely, the investor and the government concerned. The application of BOTBaC is demonstrated through using an example case.

Testing Turing's five minutes, parallel-paired imitation game

Purpose – The purpose of this paper is to consider Turing's two tests for machine intelligence: the parallel-paired, three-participants game presented in his 1950 paper, and the “jury-service” one-to-one measure described two years later in a radio broadcast. Both versions were instantiated in practical Turing tests during the 18th Loebner Prize for artificial intelligence hosted at the University of Reading, UK, in October 2008. This involved jury-service tests in the preliminary phase and parallel-paired in the final phase. Design/methodology/approach – Almost 100 test results from the final have been evaluated and this paper reports some intriguing nuances which arose as a result of the unique contest. Findings – In the 2008 competition, Turing's 30 per cent pass rate is not achieved by any machine in the parallel-paired tests but Turing's modified prediction: “at least in a hundred years time” is remembered. Originality/value – The paper presents actual responses from “modern Elizas” to human interrogators during contest dialogues that show considerable improvement in artificial conversational entities (ACE). Unlike their ancestor – Weizenbaum's natural language understanding system – ACE are now able to recall, share information and disclose personal interests.

“Financial alchemy” or a zero sum game? Real estate finance, securitisation and the UK property market

Following the US model, the UK has seen considerable innovation in the funding, finance and procurement of real estate in the last decade. In the growing CMBS market asset backed securitisations have included $2.25billion secured on the Broadgate office development and issues secured on Canary Wharf and the Trafford Centre regional mall. Major occupiers (retailer Sainsbury’s, retail bank Abbey National) have engaged in innovative sale & leaseback and outsourcing schemes. Strong claims are made concerning the benefits of such schemes – e.g. British Land were reported to have reduced their weighted cost of debt by 150bp as a result of the Broadgate issue. The paper reports preliminary findings from a project funded by the Corporation of London and the RICS Research Foundation examining a number of innovative schemes to identify, within a formal finance framework, sources of added value and hidden costs. The analysis indicates that many of the gains claimed conceal costs – in terms of market value of debt or flexibility of management – while others result from unusual firm or market conditions (for example utilising the UK long lease and the unusual shape of the yield curve). Nonetheless, there are real gains resulting from the innovations, reflecting arbitrage and institutional constraints in the direct (private) real estate market