Showing 1 - 10 of 31
We present an experimental study on the wasted resources associated with tax evasion. This waste arises from taxpayers and tax authorities, investing costly effort in concealment, respectively detect ion, of tax evasion. We show that (socially inefficient) efforts depend positively on the...
Persistent link: https://www.econbiz.de/10005824115
Social norms involve observation by others and external sanctions for violations,while moral norms involve introspection and internal sanctions. We develop a simple model ofindividual preferences that incorporates moral and social norms. We then examine dictatorchoices, where we create a shared...
Persistent link: https://www.econbiz.de/10010678008
We document a lower bound for thecontrol premium: agents' willingness to pay to control their own payoff. Participants choose between an asset that will pay only if they later answer a particular quiz question correctly and one that pays only if their partner answers a different question...
Persistent link: https://www.econbiz.de/10010678028
We tested the effects of various of policy rules on retailer behavior in laboratory experiments conducted at Hewlett-Packard Laboratories. Our experimental design models the multifaceted contemporary market for consumer computer products and is quite complex, but we found that participants can...
Persistent link: https://www.econbiz.de/10010538276
Traffic congestion is a substantial time cost for many urban commuters. This paper studies the response of subjects in an experimental setting in which subjects choose between a short direct route that becomes increasingly congested as more people travel on it and a more indirect route that does...
Persistent link: https://www.econbiz.de/10010538314
This paper investigates whether information about generosity or fairness can be useful in lowering dispute costs and enhancing bargaining efficiency. Subjects were first screened using a dictator game, with the allocations chosen used to separate participants into two types. Mutually anonymous...
Persistent link: https://www.econbiz.de/10010538336
authority dampens internal impulses toward honesty, loyalty, or generosity. In a gift-exchange experiment, we find that subjects …
Persistent link: https://www.econbiz.de/10010538348
The effectiveness of pre-play communication in achieving efficient outcomes has long been a subject of controversy. In some environments, cheap talk may help to achieve coordination. However, Aumann conjectures that, in a variant of the Stag Hunt game, a signal for efficient play is not...
Persistent link: https://www.econbiz.de/10010538354
Are men more willing to take financial risks than women? The answer to this question has immediate relevance for many economic issues. We propose a novel approach in which we assemble the data from 10 sets of experiments with one simple underlying investment game. Most of these experiments were...
Persistent link: https://www.econbiz.de/10010538371
In experiments with two-person sequential games we analyze whether responses to favorable and unfavorable actions depend on the elicitation procedure. In our 'hot' treatment the second player responds to the first player's observed action while in our 'cold' treatment we follow the 'strategy...
Persistent link: https://www.econbiz.de/10010538384