Emotions and strategic interactions

This thesis consists of three chapters. My central interest is to study the interaction between emotions and decision making, using affective computing technologies for emotion induction, measurement and analysis. The first chapter evaluates the effect of induced emotional states on risk tolerance. The second chapter explores the causal relationship between specific emotional states and cooperation, by assessing whether specific incidental emotions induce greater or less cooperation in a social dilemma environment. The final chapter considers whether the asymmetric availability of emotion data in a canonical bargaining situation between a buyer and a seller yields an advantage for the person who holds the data