People not only care about outcomes, they also value the procedures which lead to the outcomes. Procedural utility is a potentially important source of human well-being. This paper aims at introducing the concept of procedural utility into economics, and argues that it should be incorporated...

Cross-disciplinary ?happiness research? has made big progress in the measurement of individual welfare. This development makes it tempting to pursue the old dream of maximizing aggregate happiness as a social welfare function. However, we postulate that the appropriate approach is not to...

Is income equality a precondition for higher school performance and higher educational mobility? Or is the opposite true? We test empirically whether school performance and intergenerational transmission of educational attainment is depending on income equality on the local level. Using Swiss...

This paper analyzes the impact of rewards on tax compliance as an additional instrument to take into account. While social psychologists and neuroscientists have emphasized the importance of rewards, the tax compliance literature has strongly disregarded the possibilities of rewards. The use of...

There is considerable evidence that enforcement efforts can increase tax compliance. However, there must be other forces at work because observed compliance levels cannot be fully explained by the level of enforcement actions typical of most tax authorities. Further, there are observed...

In parliament, individual representatives vote with a certain probability according to their constituents’ preferences. Thus, the mechanism of the Condorcet Jury Theorem can be fruitfully applied to parliamentary representation: The probability that a majority of representatives votes...

Analysing emotional states under duress or during heightened, life-and-death situations is extremely difficult, especially given the inability of laboratory experiments to adequately replicate the environment and the inherent biases of post event surveys. It is in this area that natural...

We identify the impact of transparency in political decision -making on the quality of political representation with a difference- in-difference strategy. The quality of political representation is measured by observed divergence of parliamentary decisions from revealed voter preferences on the...

What determines political candidates? election prospects? We match roll call votes of candidates for the majority elected upper house of parliament who were previously in the lower house with revealed preferences of their constituency. Thereby, we obtain a direct measure of past congruence....

Improving transparency and enabling the principal to hold its agents accountable is a major issue in any principal agent relationship. This paper focuses on the role of public auditors in this task and presents evidence on the impact of auditor term length and term limits on government...