Confessions after failures are socially desirable. However, confessions also bear the risk of punishment. In a laboratory experiment I examine how confessions work. I analyze whether the willingness to punish harmful failures depends on how the harmed party has learned about the outcome. The...

An apology is a strong and cheap device to restore social or economic relationships that have been disturbed. In a laboratory experiment we find that harmdoers use apologies in particular if they fear punishment and when their intentions cannot be easily inferred. After offenses with ambiguous...

We investigate whether risk, time, environmental, and social preferences affect single family homeowners' investments in energy efficient renovations and energy quality of their house using established experimental measures and questionnaires. We find that homeowners who report to be more risk...