Many renewable resources are in intergenerational common pools, exploited by one generation after another. In our experiment, the stock available to each generation depends on the extent of exploitation by previous generations and on resource's growth rate, which is either slow or fast. Subjects...

We experimentally investigate a simple version of Holmstroem's career concerns model in which firms compete for agents in two consecutive periods. Profits of firms are determined by agents' unknown ability and the effort they choose. Before making second-period wage offers firms are informed...

The Stability and Growth Pact (SGP) in the EU's economic and monetary union (EMU) aims to assure sound public finances in the EMU Member States by providing for sanctions against countries with excessive deficits. We experimentally examine the voting procedure of the SGP and find that the...

Essential characteristics of corruption are (1) reciprocity relationships between bribers and public officials, (2) negative welfare effects, and (3) high penalties when discovered. We separate the influences of these factors in an experiment. In a two-player game, reciprocation is economically...

Economic and social interactions often take place in open communities but the dynamics of the community choice process and its impact on cooperation of its members are yet not well understood. We experimentally investigate community choice in social dilemmas. Participants repeatedly choose...

Artificial Intelligence (AI) increasingly becomes an indispensable advisor. New ethical concerns arise if AI persuades people to behave dishonestly. In an experiment, we study how AI advice (generated by a Natural-Language-processing algorithm) affects (dis)honesty, compare it to equivalent...

Artificial Intelligence (AI) increasingly becomes an indispensable advisor. New ethical concerns arise if AI persuades people to behave dishonestly. In an experiment, we study how AI advice (generated by a Natural-Language-Processing algorithm) affects (dis)honesty, compare it to equivalent...

Artificial Intelligence (AI) increasingly becomes an indispensable advisor. New ethical concerns arise if AI persuades people to behave dishonestly. In an experiment, we study how AI advice (generated by a Natural-Language-processing algorithm) affects (dis)honesty, compare it to equivalent...

Broken Windows: the metaphor has changed New York and Los Angeles. Yet it is far from un-disputed whether the broken windows policy was causal for reducing crime. In a series of lab experiments we put two components of the theory to the test. We show that first impressions and early punishment...

Does probation pay a double dividend? Society saves the cost of incarceration, and convicts preserve their liberty. But does probation also reduce the risk of recidivism? In a meta-study we show that the field evidence is inconclusive. Moreover it struggles with an identification problem: those...