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conducive to efficiency, despite its multiplicity of equilibria and underbidding incentives. The only condition is that the cost …
Persistent link: https://www.econbiz.de/10010291800
We experimentally manipulate the efficiency of trust and reciprocity in a modified Investment Game. The aim of our … efficient but do not adjust rewards to the efficiency of their own actions. As a result, profitability of trust is fostered by … efficiency of trust as well as by efficiency of reciprocity. However, trustors do not fully exploit the high efficiency gains …
Persistent link: https://www.econbiz.de/10010291809
We define and experimentally test a public provision mechanism that meets three basic ethical requirements and allows community members to influence, via monetary bids, which of several projects is implemented. For each project, participants are assigned personal values, which can be positive or...
Persistent link: https://www.econbiz.de/10010291814
We study conditional cooperation based on a sequential two-person linear public good game in which a trusting first contributor can be exploited by a second contributor. After playing this game the first contributor is allowed to punish the second contributor. The consequences of sanctioning...
Persistent link: https://www.econbiz.de/10010291837
How malleable are people´s fairness ideals? Although fairness is an oft-invoked concept in allocation situations, it is still unclear whether and to what extent people´s allocations reflect their fairness ideals. We investigate in a laboratory experiment whether people´s fairness ideals vary...
Persistent link: https://www.econbiz.de/10011348203
negative. The experimental results indicate that the mechanism is conducive to efficiency, despite the multiplicity of …
Persistent link: https://www.econbiz.de/10010323883
projects have demonstrated that the mechanism is efficiency enhancing. Our experiment tests whether the mechanism remains … conducive to efficiency when negative cost, but less efficient, projects are made available. We find that this is not the case …
Persistent link: https://www.econbiz.de/10010323901
negative. The experimental results indicate that the mechanism is conducive to efficiency, despite the multiplicity of …
Persistent link: https://www.econbiz.de/10010328860
In-group favoritism in social dilemma situations is one of the main findings of studies in Social Identity Theory. We investigate what causes the in-group bias: is it due to mere group affiliation or, alternatively, is guilt-aversion a possible explanation? We induce group membership in a...
Persistent link: https://www.econbiz.de/10010263886
We experimentally investigate how affective processes influence proposers' and responders' behaviour in the Ultimatum Game. Using a dualsystem approach, we tax cognitive resources through time pressure and cognitive load to enhance the influence of affective processes on behaviour. We find that...
Persistent link: https://www.econbiz.de/10010263889