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Trust and racial income inequality: evidence from the U.S.

Tesei, Andrea - London School of Economics (LSE) - 2015

Existing studies of trust formation in U.S. metropolitan areas have found that trust is lower when there is more income … groups (racial income inequality). I find that greater racial income inequality reduces trust. Also, racial fragmentation is … no longer a significant determinant of trust once racial income inequality is accounted for. I also show that racial …

Persistent link: https://www.econbiz.de/10011183328

Preference reversals and the analysis of income distributions

Amiel, Yoram; Cowell, Frank; Davidovitz, Leima; … - London School of Economics (LSE) - 2003

It is known from the literature on uncertainty that in cases where individuals express a preference for a high win-probability bet over a bet with high winnings they nevertheless will bid more to obtain the bet with high winnings. We investigate whether a similar phenomenon applies in the...

Persistent link: https://www.econbiz.de/10010928778

Contract structure, risk sharing and investment choice

Fischer, Gregory - London School of Economics (LSE) - 2011

Few microfinance-funded businesses grow beyond subsistence entrepreneurship. This paper considers one possible explanation: that the structure of existing microfinance contracts may discourage risky but high-expected return investments. To explore this possibility, I develop a theory that...

Persistent link: https://www.econbiz.de/10010746368

Digit ratio (2D:4D) and altruism: evidence from a large, multi-ethnic sample

Galizzi, Matteo M.; Nieboer, Jeroen - London School of Economics (LSE) - 2015

We look at the links between the Digit Ratio - the ratio of the length of the index finger to the length of the ring finger – for both right and left hands, and giving in a Dictator Game. Unlike previous studies with exclusively Caucasian subjects, we recruited a large, ethnically diverse...

Persistent link: https://www.econbiz.de/10011171763

Contract structure, risk sharing and investment choice

Fischer, Gregory - London School of Economics (LSE) - 2013

Few microfinance-funded businesses grow beyond subsistence entrepreneurship. This paper considers one possible explanation: that the structure of existing microfinance contracts may discourage risky but high-expected-return investments. To explore this possibility, I develop a theory that...

Persistent link: https://www.econbiz.de/10011125976

Do bad risks know it? Experimental evidence on optimism and adverse selection

Coelho, Marta; de Meza, David - London School of Economics (LSE) - 2012

Subjects who overestimate their performance in experimental tasks unrelated to travel are less willing to insure against failing in the task and also less inclined to buy travel insurance. This suggests intrinsic optimism influences insurance demand and diminishes adverse selection

Persistent link: https://www.econbiz.de/10011128051

The broadening spectrum of reputation risk in organizations: banking on risk and trust relationships

Scott, Susan V.; Walsham, Geoff - London School of Economics (LSE) - 2004

encompasses the dynamics of contemporary risk and trust relationships. We explore the capacity of different trust forms to reduce … complexity concerning the future and examine the potential of ‘active trust development’ as an approach to the management of … an analysis of recent literatures on risk, trust and reputation that links it to broader developments in society. …

Persistent link: https://www.econbiz.de/10010744830

Gender and the labor market: what have we learned from field and lab experiments?

Azmat, Ghazala; Petrongolo, Barbara - London School of Economics (LSE) - 2014

We discuss the contribution of the experimental literature to the understanding of both traditional and previously unexplored dimensions of gender differences and discuss their bearings on labor market outcomes. Experiments have offered new findings on gender discrimination, and while they have...

Persistent link: https://www.econbiz.de/10011126362

Naivete, projection bias, and habit formation in gym attendance

Acland, Dan; Levy, Matthew - London School of Economics (LSE) - 2013

We develop a model capturing habit formation, projection bias, and present bias in an intertemporal-choice setting, and conduct a field experiment to identify its main parameters. We elicit subjects' pre- and post-treatment predictions of post-treatment gym attendance, using a habit-formation...

Persistent link: https://www.econbiz.de/10010884673

Unemployment insurance and cultural transmission: theory and application to European unemployment

Michau, Jean-Baptiste - London School of Economics (LSE) - 2009

This paper emphasizes the two-way causality between the provision of unemployment insurance and the cultural transmission of work ethic. Values affect the size of the moral-hazard problem and, hence, the policy to be implemented. Conversely, when parents rationally choose how much effort to...

Persistent link: https://www.econbiz.de/10010744810