Evaluability of outcomes in ultimatum bargaining

Abstract

In bargaining, two components are important for assessing the utility of a decision outcome: self-interest and fairness. Each of these components corresponds to a comparison of possible outcomes—an interpersonal comparison for fairness, and an intrapersonal comparison for self-interest. We propose that the relative weights these components receive in ultimatum bargaining depend on their evaluability. In two studies, we show that varying the evaluability of these components influences the reactions of recipients towards the offer. Moreover, we show that the relative importance of fairness as well as the perceived fairness of the offer mediate between the evaluability of these components and acceptance rates. Results are discussed in relation to other findings on outcome and procedural framing effects in social decision-making.