Social norms permeate society across a wide range of issues and are important to understanding how societies function. In this paper we concentrate on 'bad' social norms - those that are inefficient or even damaging to a group. This paper explains how bad social norms evolve and persist; our...

Expert advice is often biased in ways that benefit the advisor. We demonstrate how selfdeception helps advisors be biased while preserving their self-image as ethical and identify limits to advisors' ability to self-deceive. In experiments where advisors recommend one of two investments to a...

The classical price competition model (named after Bertrand), prescribes that in equilibrium prices are equal to marginal costs. Moreover, prices do not depend on the number of competitors. Since this outcome is not in line with real-life observations, it is known as the Bertrand Paradox. Many...

Can algorithms help people predict behavior in high-stakes prisoner’s dilemmas? Participants watching the pre-play communication of contestants in the TV show Golden Balls display a limited ability to predict contestants’ behavior, while algorithms do significantly better. We provide...