Multiple Choice

In an experiment, groups of four people are each given a new $20 endowment for ten consecutive rounds. In each round, they can secretly contribute any amount of their endowment to a common pool. For every dollar in the pool, each of the four players (including those who didn't contribute) receives $0.40. After each round, all members are informed of how much the other three contributed. Experiments consistently show two patterns: (1) In the first round, average contributions are significantly gr

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Updated 2025-07-28

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