In this paper we investigate the effect of family connections to politicians on individuals' labor market outcomes. We combine data for Italy over almost three decades from longitudinal social security records on a random sample of around 1 million private sector employees with the universe of...

NGOs and other non-profit organizations attract workers who strongly identify themselves with their missions. We study whether these "good guys" are more trustworthy and how such pronounced group identities affect trust and trustworthiness within the groups and toward out-groups. We find that...

The practical relevance of favouritism among students of the same study path is evident in lifelong memberships in fraternities or sororities or in high donations to faculties. In our study, we focus on the in-group favouritism of students by examining the trade-off of acting based on in-group...

We provide experimental evidence of workers' ingratiation by opinion conformity and of managers' discrimination in favor of workers with whom they share similar opinions. In our Baseline, managers can observe both workers' performance at a task and opinions before assigning unequal payoffs. In...

We provide experimental evidence of workers' by opinion conformity and of managers' discrimination in favor of workers with whom they share similar opinions. In our Baseline, managers can observe both workers' performance at a task and opinions before assigning unequal payoffs. In the...

The practical relevance of favouritism among students of the same study path is evident in lifelong memberships in fraternities or sororities or in high donations to faculties. In our study, we focus on the in-group favouritism of students by examining the trade-off of acting based on in-group...

NGOs and other non-profit organizations attract workers who strongly identify themselves with their missions. We study whether these good guys are more trustworthy and how such pronounced group identities affect trust and trustworthiness within the groups and toward out-groups. We find that...

Promotion tournaments play an important role for the provision of incentives in firms. In this paper, we extend research on single-stage rank-order tournaments and analyze behavior in multi-stage elimination tournaments. The main treatment of our laboratory experiment is a two-stage tournament...

We investigate corruption as a social dilemma by means of a bribery game in which a risk of collective sanction of the public officials is introduced when the number of officials accepting a bribe from firms reaches a certain threshold. We show that, despite the social risk, the pursuit of...

The Peter Principle states that, after a promotion, the observed output of promoted employees tends to fall. Lazear (2004) models this principle as resulting from a regression to the mean of the transitory component of ability. Our experiment reproduces this model in the laboratory by means of...