An individual is sitting late at night in a bar planning his midnight trip home. In order to get home he has to take the highway and get off at the second exit. Turning at the first exit leads into a disastrous area (payoff 0). Turning at the second exit yields the highest reward (payoff 4). If he continues beyond the second exit, he cannot go back and at the end of the highway he will find a motel where he can spend the night (payoff 1). The driver is absentminded and is aware of this fact. At an intersection, he cannot tell whether it is the first or the second intersection and he cannot remember how many he has passed (one can make the situation more realistic by referring to the 17th intersection). While sitting at the bar, all he can do is to decide whether or not to exit at an intersection. (Piccione &amp; Rubinstein 1997a: 7)