We investigate how the inclination to cheat changes when agents report the result of multiple realizations of a (private information) stochastic event rather than a single outcome. Multiple realizations render extreme outcomes unlikely, facilitating the identification of opportunistic behaviors and exposing to reputation concerns the individuals who report them. Consequently, multiple realizations lead to a significant reduction of cheating by large amounts. Simultaneously multiple realizations also diminish the intrinsic cost of lying, thereby inducing a widespread inclination to adjust upward the observed outcome in a plausible manner. The overall effect is only a marginal decrease in the degree of cheating.
The effect of observing multiple private information outcomes on the inclination to cheat / Casal, S; Filippin, A. - In: ECONOMIC INQUIRY. - ISSN 0095-2583. - 2023:(2023). [10.1111/ecin.13197]
The effect of observing multiple private information outcomes on the inclination to cheat
Casal, S
;Filippin, A
2023-01-01
Abstract
We investigate how the inclination to cheat changes when agents report the result of multiple realizations of a (private information) stochastic event rather than a single outcome. Multiple realizations render extreme outcomes unlikely, facilitating the identification of opportunistic behaviors and exposing to reputation concerns the individuals who report them. Consequently, multiple realizations lead to a significant reduction of cheating by large amounts. Simultaneously multiple realizations also diminish the intrinsic cost of lying, thereby inducing a widespread inclination to adjust upward the observed outcome in a plausible manner. The overall effect is only a marginal decrease in the degree of cheating.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione