Werner Güth How Do Players Split an Amount of Money in the Ultimatum Game?
Werner Güth is the Director of the Strategic Interaction Group at the Max Planck Institute of Economics, in Jena. Previously, Güth was professor at the Humboldt-University, Berlin. His specific take on economics, particularly game theory, experimental economics and microeconomics, is shaped by a strong interest in the social sciences, such as psychology and philosophy. In the field of game theory, Güth traces back one of the most famous economic experiments, following the psychological decision making processes of two game players. His research is set to account for different outcomes of the game, when it is modified.
Area of Research
Economic Theory, Philosophy, Political Sciences
since 2002
Professor
Friedrich Schiller University Jena (Friedrich-Schiller-Universität Jena)
since 2015
Senior Professor
Frankfurt School of Finance & Management
2001-2014
Director of the Strategic Interaction Group
Max Planck Society
Max Planck Institute of Economics
1994-2001
Professor
Humboldt University of Berlin (Humboldt-Universität zu Berlin)
1986-1994
Professor
Goethe University of Frankfurt (Goethe-Universität Frankfurt am Main)
1977-1986
Professor
University of Cologne (Universität zu Köln)
1976
Habilitation
University of Münster (Westfälische Wilhelms-Universität Münster)
Faculty of Economics
1972
PhD in Economics
University of Münster (Westfälische Wilhelms-Universität Münster)
Faculty of Economics
1970
Diploma in Economics
University of Münster (Westfälische Wilhelms-Universität Münster)
Faculty of Economics
Fellowships
- Honorary Doctorate from the University of Tübingen (2010)
The ultimatum game is one of the most famous experiments in economics. It involves two players, one of them receives a sum of money which he has to share with a second player. The first player, the “proposer”, can decide how much he offers the second player, called “responder”, who can either accept or reject the offer. If the responder rejects, neither of the players receives any money. Mathematically, the first intuition is to offer the opponent the smallest amount possible. However, during the game players routinely reject even high offers if they deem the split unfair. In this video, WERNER GÜTH explains how he came to develop the ultimatum game and how modifications of the game produce different outcomes.
LT Video Publication DOI: https://doi.org/10.21036/LTPUB10159
An Experimental Analysis of Ultimatum Bargaining
- Werner Güth, Rolf Schmittberger and Bernd Schwarze
- Journal of Economic Behavior and Organization
- Published in 1982
How Werner Güth's Ultimatum Game Shaped Our Understanding of Social Behavior
- Eric van Damme, Kenneth G. Binmore, Alvin E. Roth, Larry Samuelson, Eyal Winter, Gary E. Bolton, Axel Ockenfels, Martin Dufwenberg, Georg Kirchsteiger and Uri Gneezy
- Journal of Economic Behavior & Organization
- Published in 2014
