questions in the context of a trust game by asking participants directly about their notions of cheating. We find that: i) both … parties to a trust exchange have implicit notions of what constitutes cheating even in a context without promises or messages …; ii) these notions are not unique - the vast majority of senders would feel cheated by a negative return on their trust …

trust beliefs after several rounds of game-play. Moreover, we show that one's own type/trustworthiness can be traced back to …Trust beliefs are heterogeneous across individuals and, at the same time, persistent across generations. We investigate … one mechanism yielding these dual patterns: false consensus. In the context of a trust game experiment, we show that …

trustworthiness of the pool of people with whom individuals interact as well as the presence of heterogenous costs of trust mistakes …We investigate the relationship between individual trust and individual economic performance. We find that individual … income is hump-shaped in a measure of intensity of trust beliefs. Our interpretation is that highly trusting individuals tend …

Economists have been reluctant to rely on culture as a possible determinant of economic phenomena. The notion of … culture is so broad and the channels through which it can enter the economic discourse so vague that it is difficult to design … testable hypotheses. In this paper we show this does need to be the case. We introduce a narrower definition of culture that …

This paper reviews the literature on culture and economics, focusing primarily on the epidemiological approach. The … effect of culture from the original economic and institutional environment. This approach has been used to study a variety of …