The problem of coordination in decision-making : an experimental perspective

Abstract

In this study I present the problem of coordination in decision-making from an experimental point of view. I have reviewed exhaustively the literature in this field and summarized the fundamental ways to approach coordination problems. This literature deals with the learning process of coordination games, ways to influence in equilibrium selection and coordination failure. I have also conducted a simple experimental design in order to get evidence on the influence of payoff dominance in subject´s decision-making in two types coordination games; a Stag Hunt and a Prisoner´s Dilemma. Results show that subjects coordinate in the best payoff´s outcome in the Stag Hunt but not in the Prisoner´s Dilemma. Overall, the experiment allows me to analyse whether laboratory subjects coordinate, or learn to coordinate in the best payoff´s outcome.