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and statements, and we investigate whether communication improves information aggregation and the accuracy of group … decisions. Our findings suggest that the effect of communication depends on the underlying accuracy of individual judgments …. Communication improves accuracy when individuals tend to be incorrect, but diminishes it when individuals are likely to be correct …
Persistent link: https://www.econbiz.de/10014495051
communication, we also find systematic deviations from optimal behavior in how the communicated information is used. Specifically …
Persistent link: https://www.econbiz.de/10011872542
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Consider managers evaluating their employees' performances. Should managers justify their subjective evaluations? Suppose a manager's evaluation is private information. Justifying her evaluation is costly but limits the principal's scope for distorting her evaluation of the employee. I show that...
Persistent link: https://www.econbiz.de/10011930440
) private information with sequential, two-way communication. In the first stage, the buyer communicates her private preferences …
Persistent link: https://www.econbiz.de/10014479178
In cases of conflict of interest, people can lie directly or evade the truth. We analyse this situation theoretically and test the key behavioural predictions in a novel sender-receiver game. We find senders prefer to deceive through evasion rather than direct lying, more so when evasion is a...
Persistent link: https://www.econbiz.de/10014495050
There are many important decision problems where learning through experimentation is costly or impossible. In these situations, individuals may try to learn from observing the outcomes of others who have made similar decisions. Often, however, information about others comprises a selected...
Persistent link: https://www.econbiz.de/10011982107
Measuring economic uncertainty is crucial for understanding investment decisions by individuals and firms. Macroeconomists increasingly rely on survey data on subjective expectations. An innovative approach to measure aggregate uncertainty exploits the rounding patterns in individuals' responses...
Persistent link: https://www.econbiz.de/10012034114
Unfavorable news are often delivered under the disguise of vagueness. Our theory-driven laboratory experiment …
Persistent link: https://www.econbiz.de/10013191455
Persistent link: https://www.econbiz.de/10001925476