Consider the

ultimatum game

LOADING...

$,$

where an$$ "allocator" is$$ given, say,

$$$$10\mathrm{.}0010\mathrm{.}00$

to decide how to divide with a$$ "recipient," who then decides whether to accept or reject the$$ allocation, ultimately determining whether the pair receives the allocation or nothing.

Part $2$

What is the optimal play in the ultimatum$$ game?

Part $3$

The optimal play in the ultimatum game is for the allocator to propose a division of the money such that the recipient receives

$$$enter your response here

and the recipient then

$$

$$

rejects

accepts

the division. $($Enter your response as a real number rounded to two decimal$$ places.$)$

Part $4$

When the ultimatum game experiment is carried$$ out, both allocators and recipients act as if fairness

$$

$$

is not

is

important.