Showing 1 - 10 of 126
tax compliance decisions, we have conducted a laboratory experiment in which we introduced two types of inequities. The …
Persistent link: https://www.econbiz.de/10010820812
experiment in which they had to perform a task over fifteen stages grouped in three blocks or levels. In order to continue … through the experiment, a minimum level of success was required at the end of each level. Rewards were dependent on the final …, participants in the loss framing group choose to go further in the experiment. There was also a significant and interesting gender …
Persistent link: https://www.econbiz.de/10010750819
This paper examines the determinants of tax evasion under prospect theory. For prospect theory, reference dependence is a fundamental element (the utility function depends on gains and losses relative to a reference point and not on final wealths as in expected utility theory). In order to...
Persistent link: https://www.econbiz.de/10010933897
We investigate the relation between welfare and preference satisfaction in economics, and show that the extension of the scope of economic analysis through the 20th century forces economists to question the validity of the preference satisfaction criterion as a normative criterion for evaluating...
Persistent link: https://www.econbiz.de/10010633780
In an often quoted article, Genesove and Mayer (2001) observe that house sellers are reluctant to sell at a loss, and attribute this finding to loss aversion. I show that loss aversion cannot explain this phenomenon.
Persistent link: https://www.econbiz.de/10010635268
I show that a loss averse consumer who must share her budget between two goods prefer allocations for which consumption equals reference point for at least one good. The phenomenon intensity depends on the curvature of the utility curve. These results are consistent with several stylized facts...
Persistent link: https://www.econbiz.de/10011026068
The economics-of-crime approach usually ignores the emotional cost and benefit of cheating. In this paper, we … investigate the relationships between emotions, deception, and rational decision-making by means of an experiment on tax evasion … emotional dimension of cheating favors compliance. …
Persistent link: https://www.econbiz.de/10008791088
The economic models of tax compliance predict that individuals should evade taxes when the expected benefit of cheating … experiment shows that emotional arousal, measured by Skin Conductance Responses, increases in the proportion of evaded taxes. The …
Persistent link: https://www.econbiz.de/10008791639
Individuals' willingness to act in socially desirable ways, such as sharing resources with others and abiding by norms of ethical conduct, is a necessary condition of social life. The current research reconciles two seemingly contradicting sets of findings on the role of cognitive control in...
Persistent link: https://www.econbiz.de/10010739140
success of a risky project depends on the participation of a minimum number of investors. The experiment is set up as a …
Persistent link: https://www.econbiz.de/10010930171