Business & Finance

Experiment Report

The theoretical prediction is that the proposer offers the smallest amount possible. For this report, lets make the offer zero. Create a table and present the values for: theoretical prediction, the average amount offered in treatment 1, the average amount offered in treatment 2, the average amount offered and rejected in treatment 1, the average amount offered and accepted in treatment 1.
Try to explain why you think that there is a difference between what you observe in the data and the theoretical prediction for each treatment.