We develop and test experimentally the argument that gender/family and/or professional identities, activated through psychological priming, may influence preference for competition. We focus on female professionals for whom these identities may conflict and male professionals for whom they may...

In this study, we examine the effectiveness of the individual-punishment mechanism in larger groups, comparing groups of four to groups of 40 participants. We find that the individual punishment mechanism is remarkably robust when the MPCR is held constant despite the coordination problems...

We experimentally investigate a new variant of the trust/investment game that captures some key features of internet peer-to-peer (P2P) lending: the borrower specifies the amount of money required and makes a contingent promise about the value of the generally higher repayment prior to the...

Will generous return policies in auctions benefit bidders? We investigate this issue using second-price common-value auctions. Theoretically, we find that the bidding equilibrium is unique unless returns are free, in which case there exist multiple equilibria with different implications for...

We examine the influence of social distance on levels of trust and reciprocity in China. Social distance, reflected in the indigenous concept of guanxi, is of central importance to Chinese culture. In Study 1, some participants participated in two financially salient trust games to measure...

We develop and test experimentally the argument that gender/family and/or professional identities, activated through psychological priming, may influence preference for competition. We focus on female professionals for whom these identities may conflict and male professionals for whom they may...

We investigate the effects of social distance on both actual trusting and reciprocity behavior and beliefs about such behavior. Some participants participated in two financially salient trust games to measure behavior, one with a classmate and the other with a student who was a stranger, while...

We examine equilibrium selection in a two-stage sequential elimination contest in which contestants compete for a single prize. This game has a continuum of equilibria, only one of which satisfies the Coalition-Proof Nash Equilibrium (CPNE) refinement. That equilibrium involves “burning out”...

Tournaments are widely used to assign bonuses and determine promotions. Tournament-based compensation is motivating because of the link between relative performance and financial rewards. However, performing relatively well (poorly) may also yield psychological benefits (pain). This may also...