The modern world is complex and difficult to understand for voters, who may hold beliefs that are at variance with … reality. Politicians face incentives to pander to voters' beliefs to get reelected. We analyze the welfare effects of this …

subjects' beliefs about the positive reciprocity of others.Cooperative subjects are more optimistic in their beliefs and …' distributional preferences, (iii) strategies submitted in the trust game in both roles of the game, and (iv) subjects' beliefs about … scoring rule.We show that trust can be expressed as a belief in positive reciprocity of the trustee, and answers to general …

Many experimental studies indicate that people are motivated by reciprocity. Rabin (1993) develops techniques for … reciprocity for extensive games in which the sequential structure of a strategic situation is made explicit. We propose a new … solution concept— sequential reciprocity equilibrium—which is applicable to extensive games, and we prove a general equilibrium …

bad mood implies more reciprocity while a good mood implies more generosity.Since high transfers are relatively more …

indicates that this is indeed likely to be the case. But reciprocity or gift-exchange induces social relations. The utility …