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Anchoring is a robust behavioral phenomenon modeled predominantly as a bias in individual judgment. We propose a game-theoretic model that considers players’ beliefs about others’ behavior as a mediator for the effect of the anchor on a player’s choice. The results establish that anchoring...
Persistent link: https://www.econbiz.de/10013191577
Anchoring is one of the most studied and robust behavioral biases, but there is little knowledge about its persistence in strategic settings. This article studies the role of anchoring bias in private-value auctions. We test experimentally two different anchor types. The announcement of a random...
Persistent link: https://www.econbiz.de/10012138992
the willingness to lie. In a laboratory experiment, we compare the lying behavior of high-endowment participants with low …
Persistent link: https://www.econbiz.de/10012225391
longitudinal experiment over four weeks, individuals have to complete a cumbersome task of unknown length. They are exposed to …
Persistent link: https://www.econbiz.de/10014487122
This paper experimentally studies two simple interventions aimed at increasing public goods provision in settings in which accurate feedback about contributions is not available. The first intervention aims to exploit lying aversion by requiring subjects to send a non-verifiable ex post...
Persistent link: https://www.econbiz.de/10011982104
the principal when deciding on a reciprocating action. We employ a controlled experiment to investigate how intentions and …
Persistent link: https://www.econbiz.de/10014476124
's expectation of reciprocity shown to be a key determinant. We use an indeterminate horizon centipede game to establish a feedback …
Persistent link: https://www.econbiz.de/10012055632
second half of the paper tests the theoretical predictions in an experiment. In contrast to previous literature, the …
Persistent link: https://www.econbiz.de/10012500269
the presumption that a relational contract can establish a norm of reciprocity, I show that generous upfront wages that … by the employee’s reciprocal preferences, the norm of reciprocity already shapes the incentive system at the beginning of … his career. I also show that more competition might magnify the use of reciprocity-based incentives, and that a formal …
Persistent link: https://www.econbiz.de/10012126237
obligations. We present evidence from a laboratory tax experiment suggesting that the effects of complexity on compliance are …
Persistent link: https://www.econbiz.de/10012118468