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Many information structures generate correlated rather than mutually independent signals, the news media being a prime example. This paper shows experimentally that in such contexts many people neglect these correlations in the updating process and treat correlated information as independent. In...
Persistent link: https://www.econbiz.de/10010328793
candidate is expectations: what people expect could affect how they feel about what actually occurs. In a real-effort experiment …
Persistent link: https://www.econbiz.de/10010264587
subjective beliefs of players. In a laboratory experiment we measure subjects? certainty equivalents for three coordination games …
Persistent link: https://www.econbiz.de/10010261109
the relevant predictions, which are then tested in pre-registered lab-in-the-field experiments from villages in the Indian …
Persistent link: https://www.econbiz.de/10014264453
We study experimentally how taxpayers choose between two tax regimes to fund a public good. The first-best tax regime imposes a general, distortion-free income tax. However, this tax cannot be enforced. The second-best alternative supplements the income tax by a specific commodity tax. This tax...
Persistent link: https://www.econbiz.de/10010261266
We designed four observational learning experiments to identify the key channels that, along with Bayes …-rational inferences, drive herd behavior. In Experiment 1, unobserved, whose actions remain private, learn from the public actions made in … actions, but they overweight their low quality signals relative to public information. Experiments 2-4 reveal that non …
Persistent link: https://www.econbiz.de/10011794194
We conduct a laboratory experiment to shed light on the cognitive limitations that may affect the way decision makers …
Persistent link: https://www.econbiz.de/10011615828
It has been argued that guilt aversion (the aversion to violate others’ expectations) and the compliance to descriptive social norms (the aversion to act differently than others in the same situation) are important drivers of human behavior. We show in a formal model that both motives are...
Persistent link: https://www.econbiz.de/10011872056
for this notion of 'motivated procrastination'. In a longitudinal experiment over four weeks, individuals must complete a …
Persistent link: https://www.econbiz.de/10014534328
reasonably unforeseeable, in two pre-registered experiments that entail unforeseen events. We argue that participants deviate …
Persistent link: https://www.econbiz.de/10012425568