Live Biofeedback in a Beauty Contest Game

Description

Professional traders and investors have started to acknowledge the key role played by emotions during Lnancial decision making. To avoid potential losses caused by emotio-nally-fueled decisions triggered by factors such as time pressure, decision-makers try to control and regulate their emotions. Recent literature proposed the application of live biofeedback—a feedback response based on personal physiological measures—to sup-port emotion regulation and hence decision making. Our work is based on a study by Kocher and Sutter (Journal of Economic Behavior and Organization 61 (3), 2006), which examines the eKects of time pressure on strategic decision making in a beauty contest game. We extend this study by a live biofeedback component. Participants take part in a beauty contest game under time pressure with two distinct treatments, namely with or without live biofeedback. The aim of our study is to investigate the eKect of live biofeedback on emotionally-fueled strategic decision making. For this purpose, mea-sures from both treatments e.g., distance to game theoretical equilibrium, distance to the target value, or individual payoKs will be compared to the Lndings from Kocher and Sutter.

Period	28 Sept 2015 → 30 Sept 2015
Event title	Jahrestagung der Gesellschaft für experimentelle Wirtschaftsforschung e.V. (GfeW)
Event type	Unkonwn
Degree of Recognition	International