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  1. Implementing equal division with an ultimatum threat.Esat Doruk Cetemen & Emin Karagözoğlu - 2014 - Theory and Decision 77 (2):223-236.
    We modify the payment rule of the standard divide the dollar (DD) game by introducing a second stage and thereby resolve the multiplicity problem and implement equal division of the dollar in equilibrium. In the standard DD game, if the sum of players’ demands is less than or equal to a dollar, each player receives what he demanded; if the sum of demands is greater than a dollar, all players receive zero. We modify this second part, which involves a harsh (...)
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  • Divide-the-Dollar Game Revisited.Nejat Anbarci - 2001 - Theory and Decision 50 (4):295-303.
    In the Divide-the-Dollar (DD) game, two players simultaneously make demands to divide a dollar. Each player receives his demand if the sum of the demands does not exceed one, a payoff of zero otherwise. Note that, in the latter case, both parties are punished severely. A major setback of DD is that each division of the dollar is a Nash equilibrium outcome. Observe that, when the sum of the two demands x and y exceeds one, it is as if Player (...)
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