We conducted an experiment in which subjects played a sender-receiver game with and without rewarding opportunities. We find that rewards enhance the receiver's propensity to trust the sender's message but do not influence the sender's probability to tell the truth. Moreover, subjects who reward...

For marriage markets [Gale, D. and Shapley, L.S., 1962, College admissions and the stability of marriage, American Mathematical Monthly 69, 9-15.] so-called fair matchings do not always exist. We show that restoring fairness by using monetary transfers is not always possible: there are marriage...