This paper provides experimental evidence showing that indirectreciprocity may important in economic decision making and in thedevelopment of group norms. We study a `repeated helping game' withrandom pairing in large groups, with individuals equally dividedbetween donors and recipients. Donors...

We study the politico-economic interaction in a country in transition from a communist regime to a democratic, free market system, to wit, Albania. It is argued that the politicoeconomic system there is characterized by the existence of clans. Both the communists and the first democratically...

Performance ranking is common across a range of professional and recreational domains. Even when it has no economic consequences but does order people in terms of their social standing, anticipating such performance ranking may impact how people feel and perform. We examined this possibility by...

In an influential study, Mas and Moretti (2009) find that "worker effort is positively related to the productivity of workers who see him, but not workers who do not see him". They interpret this as evidence that social pressure can reduce free riding. In this paper we report an attempt to...

In an in influential study, Mas and Moretti (2009) found that "worker effort is positively related to the productivity of workers who see him, but not workers who do not see him." They interpret this as evidence that social pressure can reduce free riding. In this paper we report an attempt to...

Economic behavior often takes place in groups of small numbers of people interacting with each other (like work teams, neighborhoods, social networks, etc.). Characteristic of such interaction is the development of (affective) interpersonal relationships, or social ties. According to...

This paper reports the results of a lab experiment designed to study the role of observability for peer effects in the setting of a simple production task. In our experiment, participants in the role of workers engage in a team real-effort task. We vary whether they can observe, or be observed...