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on Experimental Economics |
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Issue of 2024‒06‒24
43 papers chosen by |
| By: | Snir, Avichai; Levy, Dudi; Wang, Dian; Chen, Haipeng (Allan); Levy, Daniel |
| Abstract: | Many experimental studies report that economics students tend to act more selfishly than students of other disciplines, a finding that received widespread public and professional attention. Two main explanations that the existing literature offers for the differences found in the behavior between economists and non-economists are: (i) the selection effect, and (ii) the indoctrination effect. We offer an alternative, novel explanation: we argue that these differences can be explained by differences in the interpretation of the context. We test this hypothesis by conducting two social dilemma experiments in the US and Israel with participants from both economics and non-economics majors. In the experiments, participants face a tradeoff between profit maximization (market norm) and workers’ welfare (social norm). We use priming to manipulate the cues that the participants receive before they make their decision. We find that when participants receive cues signaling that the decision has an economic context, both economics and non-economics students tend to maximize profits. When the participants receive cues emphasizing social norms, on the other hand, both economics and non-economics students are less likely to maximize profits. We conclude that some of the differences found between the decisions of economics and non-economics students can be explained by contextual cues. |
| Keywords: | Selection; Indoctrination; Self-Interest; Market Norms; Social Norms; Economic Man; Rational Choice; Fairness; Experimental Economics; Laboratory Experiments; Priming; Economists vs. Non-Economists; Behavioral Economics |
| JEL: | A11 A12 A13 A20 B40 C90 C91 D01 D63 D91 P10 |
| Date: | 2024–04–21 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:120871&r= |
| By: | Daniele Nosenzo (Aarhus Univeristy, Denmark); Erte Xiao (Monash University, Australia); Nina Xue (Monash University, Australia) |
| Abstract: | The literature on punishment and prosocial behavior has presented conflicting findings. In some settings, punishment crowds out prosocial behavior and backfires; in others, however, it promotes prosociality. We examine whether the punisher’s motives can help reconcile these results through a novel experiment in which the agent’s outcomes are identical in two environments, but in one the pre-emptive punishment scheme is self-serving (i.e., potentially benefits the punisher), while in the other it is other-regarding (i.e., potentially benefits a third party). We find that self-serving punishment reduces the social stigma of selfish behavior, while other-regarding punishment does not. Self-serving punishment is thus less effective at encouraging compliance and is more likely to backfire. We further show that the normative message is somewhat weaker when punishment is less costly for the punisher. Our findings have implications for the design of punishment mechanisms and highlight the importance of the punisher’s motives in expressing norms. |
| Keywords: | punishment, norms, stigma, crowd out, expressive function of punishment |
| JEL: | C91 C72 D02 |
| Date: | 2024–05 |
| URL: | https://d.repec.org/n?u=RePEc:mos:moswps:2024-09&r= |
| By: | Silvia Angerer; Hanna Brosch; Daniela Glätzle-Rützler; Philipp Lergetporer; Thomas Rittmannsberger |
| Abstract: | We present representative evidence of discrimination against migrants through an incentivized choice experiment with over 2, 000 participants. Decision makers allocate a fixed endowment between two receivers. To measure discrimination, we randomly vary receivers’ migration background and other attributes, including education, gender, and age. We find that discrimination against migrants by the general population is both widespread and substantial. Our causal moderation analysis shows that migrants with higher education and female migrants experience significantly less discrimination. Discrimination is more pronounced among decision makers who are male, non-migrants, have right-wing political preferences, and live in regions with lower migrant shares. |
| Keywords: | discrimination, representative sample, migration, experiment |
| JEL: | C91 C93 J15 D90 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_11117&r= |
| By: | Ziyi Wang; Lijia Wei; Lian Xue |
| Abstract: | This study evaluates the effectiveness of Artificial Intelligence (AI) in mitigating medical overtreatment, a significant issue characterized by unnecessary interventions that inflate healthcare costs and pose risks to patients. We conducted a lab-in-the-field experiment at a medical school, utilizing a novel medical prescription task, manipulating monetary incentives and the availability of AI assistance among medical students using a three-by-two factorial design. We tested three incentive schemes: Flat (constant pay regardless of treatment quantity), Progressive (pay increases with the number of treatments), and Regressive (penalties for overtreatment) to assess their influence on the adoption and effectiveness of AI assistance. Our findings demonstrate that AI significantly reduced overtreatment rates by up to 62% in the Regressive incentive conditions where (prospective) physician and patient interests were most aligned. Diagnostic accuracy improved by 17% to 37%, depending on the incentive scheme. Adoption of AI advice was high, with approximately half of the participants modifying their decisions based on AI input across all settings. For policy implications, we quantified the monetary (57%) and non-monetary (43%) incentives of overtreatment and highlighted AI's potential to mitigate non-monetary incentives and enhance social welfare. Our results provide valuable insights for healthcare administrators considering AI integration into healthcare systems. |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2405.10539&r= |
| By: | Hallman, Alice; Johannesson, Magnus; Kujansuu, Essi |
| Abstract: | Alan et al. (2023) carry out a field experiment where they randomly allocate 20 corporations in Turkey to a treatment group or a control group. White-collar employees at the headquarters of the corporations are invited to participate in a training program to improve the workplace environment. They report that the program reduces separation (workers quitting) and improves prosocial behavior, workplace quality and support networks. We test the robustness reproducibility of these results, focusing on the results reported in Table 8 of the original paper. We first successfully reproduce the results in Table 8 computationally based on the posted code and data, and we then carry out five robustness tests. We do not find robust support for an effect of the treatment on any of the four primary outcome variables (separation, prosocial behavior, workplace quality and support networks). The relative effect size of the robustness tests averaged across the primary hypotheses is 0.62, suggesting some inflation in the original effect sizes. The effects reported in the paper are driven by the additional employees added to the sample about one year after the initial baseline data collection and after the randomization of firms to treatment and control (and this sample is not balanced on observables across the treatment and control group). Not having access to the raw data limited the possible robustness tests. |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:i4rdps:118&r= |
| By: | Anton Suvorov (New Economic School, 45, Skolkovskoye Shosse, Moscow 121353, Russian Federation and National Research University Higher School of Economics, Faculty of Economic Sciences. Pokrovsky bd., 11, Suite S1039, 109028 Moscow, Russia); Jeroen van de Ven (j.vandeven@uva.nl); Marie Claire Villeval (CNRS, GATE, 35 rue Raulin, F-69007, Lyon, France) |
| Abstract: | Although they usually manage to combine information to make well-informed decisions, groups also make mistakes. We investigate experimentally one source of sub-optimal decision-making by groups: the selective and asymmetric sharing of ego-relevant information within teams. We show that good news about one’s performance is shared more often with team members than bad news. Asymmetric information sharing combined with the receivers’ selection neglect boosts team confidence compared to an unbiased exchange of feedback. Consequently, weaker teams make worse investment decisions in bets whose success depends on the team’s ability. The endogenous social exchange of ego-relevant information may foster detrimental group delusion. |
| Keywords: | Group Delusion, Information Disclosure, Beliefs, Skepticism, Social Image, Experiment |
| JEL: | C91 C92 D83 D84 D91 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:gat:wpaper:2405&r= |
| By: | Lisa Bruttel (University of Potsdam, Berlin School of Economics, CEPA); Maximilian Andres (University of Potsdam, Berlin School of Economics, CEPA) |
| Abstract: | While the economic harm of cartels is caused by their price-increasing effect, sanctioning by courts rather targets at the underlying process of firms reaching a price-fixing agreement. This paper provides experimental evidence on the question whether such sanctioning meets the economic target, i.e., whether evidence of a collusive meeting of the firms and of the content of their communication reliably predicts subsequent prices. We find that already the mere mutual agreement to meet predicts a strong increase in prices. Conversely, express distancing from communication completely nullifies its otherwise price-increasing effect. Using machine learning, we show that communication only increases prices if it is very explicit about how the cartel plans to behave. |
| Keywords: | cartel, collusion, communication, machine learning, experiment |
| JEL: | C92 D43 L44 |
| Date: | 2024–05 |
| URL: | https://d.repec.org/n?u=RePEc:pot:cepadp:77&r= |
| By: | Gorny, Paul M.; Groos, Eva; Strobel, Christina |
| Abstract: | Regulators of artificial intelligence (AI) emphasize the importance of human autonomy and oversight in AI-assisted decision-making (European Commission, Directorate-General for Communications Networks, Content and Technology, 2021; 117th Congress, 2022). Predictions are the foundation of all AI tools; thus, if AI can predict our decisions, how might these predictions influence our ultimate choices? We examine how salient, personalized AI predictions affect decision outcomes and investigate the role of reactance, i.e., an adverse reaction to a perceived reduction in individual freedom. We trained an AI tool on previous dictator game decisions to generate personalized predictions of dictators’ choices. In our AI treatment, dictators received this prediction before deciding. In a treatment involving human oversight, the decision of whether participants in our experiment were provided with the AI prediction was made by a previous participant (a ‘human overseer’). In the baseline, participants did not receive the prediction. We find that participants sent less to the recipient when they received a personalized prediction but the strongest reduction occurred when the AI’s prediction was intentionally not shared by the human overseer. Our findings underscore the importance of considering human reactions to AI predictions in assessing the accuracy and impact of these tools as well as the potential adverse effects of human oversight. |
| Keywords: | Artificial intelligence, Predictions, Decision-making, Reactance, Free will |
| JEL: | C90 C91 D01 O33 |
| Date: | 2024–05–24 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:121065&r= |
| By: | Pierpaolo Battigalli; Giovanni Di Bartolomeo; Stefano Papa |
| Abstract: | This research investigates the motivations in sharing decisions in a dictator game, trying to distinguish the role of guilt aversion from other social preferences, such as altruism and inequity aversion. Using an experimental design that incorporates exogenous variations in beliefs and endowments, we manipulate probabilities to generate scenarios with varying expected sharing costs. This approach allows for an in-depth examination of how sharing behaviors correlate with second-order beliefs across different cost conditions. Focusing on the guilt and inequity aversion channels, the study also explores how gender in‡fluences behavior. |
| Keywords: | expectations; guilt aversion; inequity aversion; opportunity costs; gender differences. |
| JEL: | A13 C91 D01 D64 |
| Date: | 2024–05 |
| URL: | https://d.repec.org/n?u=RePEc:sap:wpaper:wp248&r= |
| By: | Sandro Ambuehl; Heidi C. Thysen |
| Abstract: | Good decision-making requires understanding the causal impact of our actions. Often, we only have access to correlational data that could stem from multiple causal mechanisms with divergent implications for choice. Our experiments comprehensively characterize choice when subjects face conflicting causal interpretations of such data. Behavior primarily reflects three types: following interpretations that make attractive promises, choosing cautiously, and assessing the fit of interpretations to the data. We characterize properties of interpretations that obscure bad fit to subjects. Preferences for more complex models are more common than those reflecting Occam’s razor. Implications extend to the Causal Narratives and Model Persuasion literatures. |
| JEL: | C91 D01 D83 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_11103&r= |
| By: | Catherine C. Eckel (Texas A&M University); Lata Gangadharan (Monash University); Philip J. Grossman (Monash University); Miranda Lambert (Texas A&M University); Nina Xue (Monash University) |
| Abstract: | This study investigates the impact of the institutional setting on the gender leadership gap. Motivating our study is the belief that women shy away from competitive environments and tend to prefer cooperative environments. We design an experiment using a modified Centipede game to test whether leaders can foster cooperation under two incentive schemes: competitive (“winner takes all”) versus cooperative (equal earnings distribution). The leader, whose gender is revealed, sends a message providing strategic advice to their group. We find that male and female leaders are similarly effective in enhancing efficiency and are anticipated to perform equivalently. However, in the competitive context, a gender gap emerges: Female leaders receive lower evaluations than male leaders for offering identical advice. Interestingly, this bias is not observed in the cooperative context, suggesting that the congruence of the environment with gender stereotypes has important implications for leadership evaluations. Randomly-selected female leaders are evaluated 50% higher in a cooperative, as compared to a competitive environment. Thus, achieving gender equality in leadership requires careful attention to the institutional design of organizations. Notably, men consistently demonstrate a higher propensity to lead, regardless of the surrounding context. |
| Keywords: | gender, leadership, institutional environment, evaluation, experiment |
| JEL: | C92 J16 J71 M14 |
| Date: | 2024–06 |
| URL: | https://d.repec.org/n?u=RePEc:mos:moswps:2024-10&r= |
| By: | Qin, Botao; Xie, Siyuan; Xu, Chenyang |
| Abstract: | Non-monetary incentives are increasingly being studied in encouraging energy conservation. In light of this, we conducted a natural field experiment in student dormitories to assess the effect of honor-based incentives and goal setting on electricity saving and the intrinsic motivation to save energy. Using a difference-in-difference model, we found that goal setting reduced the dormitories' electricity consumption by 15.93\% on average compared to the control group. However, the honor-based incentives were not effective on average. In addition, the study found that both honor-based incentives and goal setting, on average, did not crowd out or crowd in the intrinsic motivation to save electricity in dormitories. The heterogeneity analysis showed that the more the dormitory values honor incentives, the more its intrinsic motivation was crowded in by honor incentives. We also found dormitory characteristics affect the crowding effect on the intrinsic motivation. |
| Keywords: | Honor; Goal setting; Electricity use; Crowding effect |
| JEL: | C93 D10 Q41 |
| Date: | 2024–04–01 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:120869&r= |
| By: | Kirchler, Benjamin; Kirchler, Erich |
| Abstract: | We study the impact of social reference points (SRPs) on decisions under uncertainty. Participants in an online experiment observed the earnings of a matched peer, which was either a high or low amount of money (SRP condition). Subsequently, they made decisions under different degrees of uncertainty (uncertainty condition) with known and uncertain probabilities of outcomes. Risky and ambiguous decisions are operationalized by a modified version of the Bomb Risk Elicitation Task (BRET).We find that SRPs shape decisions under uncertainty: observing a high SRP decreases risk aversion significantly, especially when peer earnings are salient. Moreover, our results suggest that the degree of uncertainty affects the impact of SRPs. SRPs loom larger in decisions under ambiguity compared to risky decisions. Further details of the results suggest that behavior is consistent with social comparison theory. Participants observing a low SRP decrease risks taking to avoid social loss by collecting a bomb and receiving zero earnings, while participants observing a high SRP increase risk taking to decrease the gap to the peer and reduce social losses. |
| Keywords: | Choice under uncertainty, risk taking, ambiguity, social comparison, inequity aversion |
| JEL: | D03 |
| Date: | 2024–03–11 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:121054&r= |
| By: | Anirudh Tagat |
| Abstract: | This is an evaluation of "Do Celebrity Endorsements Matter? A Twitter Experiment Promoting Vaccination In Indonesia". |
| Date: | 2023–08–10 |
| URL: | http://d.repec.org/n?u=RePEc:bjn:evalua:alatas-e2&r= |
| By: | Anonymous |
| Abstract: | This is an anonymous evaluation of "Do Celebrity Endorsements Matter? A Twitter Experiment Promoting Vaccination In Indonesia". |
| Date: | 2023–08–10 |
| URL: | http://d.repec.org/n?u=RePEc:bjn:evalua:alatas-e1&r= |
| By: | Kai Barron; Tilman Fries |
| Abstract: | We study how one person may shape the way another person interprets objective information. They do this by proposing a sense-making explanation (or narrative). Using a theory-driven experiment, we investigate the mechanics of such narrative persuasion. Our results reveal several insights. First, narratives are persuasive: We find that they systematically shift beliefs. Second, narrative fit (coherence with the facts) is a key determinant of persuasiveness. Third, this fit-heuristic is anticipated by narrative-senders, who systematically tailor their narratives to the facts. Fourth, the features of a competing narrative predictably influence both narrative construction and adoption. |
| Keywords: | Narratives, beliefs, explanations, mental models, experiment, financial advice |
| JEL: | D83 G40 G50 C90 |
| Date: | 2024–05–08 |
| URL: | http://d.repec.org/n?u=RePEc:bdp:dpaper:0039&r= |
| By: | Adam, Martin; Reinelt, Annika; Roethke, Konstantin |
| Abstract: | To motivate visitors to engage with websites, e‐tailers widely employ monetary rewards (e.g., vouchers, discounts) in their website designs. With advances in user interface technologies, many e‐tailers have started to offer gamified monetary reward designs (MRDs), which require visitors to earn the monetary reward by playing a game, rather than simply claiming the reward. However, little is known about whether and why gamified MRDs engage visitors compared to their non‐gamified counterpart. Even less is known about the effectiveness of gamified MRDs when providing certain or chance‐based rewards, in that visitors do or do not know what reward they will gain for successfully performing in the game. Drawing on cognitive evaluation theory, we investigate gamified MRDs with certain or chance‐based rewards and contrast them to non‐gamified MRDs with certain rewards in user registration systems. Our results from a multi‐method approach encompassing the complementary features of a randomised field experiment (N = 651) and a randomised online experiment (N = 330) demonstrate differential effects of the three investigated MRDs on user registration. Visitors encountering either type of gamified MRD are more likely to register than those encountering a non‐gamified MRD. Moreover, gamified MRDs with chance‐based rewards have the highest likelihood of user registrations. We also show that MRDs have distinct indirect effects on user registration via anticipated experiences of competence and sensation. Overall, the paper offers theoretical insights and practical guidance on how and why gamified MRDs are effective for e‐tailers. |
| Date: | 2024–05–28 |
| URL: | https://d.repec.org/n?u=RePEc:dar:wpaper:145527&r= |
| By: | Oludamilare Aboaba; Aaron Chalfin; Michael LaForest Tucker; Lucie Parker; Patrick Sharkey |
| Abstract: | Can gun violence be deterred at low cost? We report the results of a randomized experiment of a messaging intervention which was designed to reduce gun violence among individuals under parole supervision with a prior violent felony conviction or firearm arrest. The intervention consisted of a group meeting in which high-risk paroled individuals were notified of the sanction they would face upon reoffending while being offered community resources to support re- integration into the community. The program did not lead to a reduction in gun violence or create community spillover effects but did reduce parole violations by 15%. Potential mechanisms and implications for similar programs are discussed. |
| JEL: | K49 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32455&r= |
| By: | Axel Ockenfels (University of Cologne & Max Planck Institute for Research on Collective Goods, Bonn); Dirk Sliwka (University of Cologne, IZA and cesIfo); Peter Werner (Maastricht University) |
| Abstract: | We compare evaluations of employee performance by individuals and groups of supervisors, analyzing a formal model and running a laboratory experiment. The model predicts that multi-rater evaluations are more precise than single-rater evaluations if groups rationally aggregate their signals about employee performance. Our controlled laboratory experiment confirms this prediction and finds evidence that this can indeed be attributed to accurate information processing in the group. Moreover, when employee compensation depends on evaluations, multi-rater evaluations tend to be associated with higher performance. |
| Keywords: | Performance appraisal, calibration panels, group decision-making, real effort, incentives |
| JEL: | J33 M52 |
| Date: | 2024–05 |
| URL: | https://d.repec.org/n?u=RePEc:ajk:ajkdps:307&r= |
| By: | Pascaline Dupas; Seema Jayachandran; Adriana Lleras-Muney; Pauline Rossi |
| Abstract: | We conducted a randomized trial among 14, 545 households in rural Burkina Faso to test the oft-cited hypothesis that limited access to contraception is an important driver of high fertility rates in West Africa. We do not find support for this hypothesis. Women who were given free access to medical contraception for three years did not have lower birth rates; we can reject even modest effects. We cross-randomized additional interventions to address possible inefficiencies leading to low demand for free contraception, specifically misperceptions about the child mortality rate, limited exposure to opposing views about family size and contraception, and social pressure. Free contraception did not influence fertility even in combination with these other interventions. |
| JEL: | J13 J18 O12 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32427&r= |
| By: | Ambuehl, Sandro (Dept. of Economics, University of Zurich); Thysen, Heidi Christina (Dept. of Economics, Norwegian School of Economics and Business Administration) |
| Abstract: | Good decision-making requires understanding the causal impact of our actions. Often, we only have access to correlational data that could stem from multiple causal mechanisms with divergent implications for choice. Our experiments comprehensively characterize choice when subjects face conflicting causal interpretations of such data. Behavior primarily reflects three types: following interpretations that make attractive promises, choosing cautiously, and assessing the fit of interpretations to the data. We characterize properties of interpretations that obscure bad fit to subjects. Preferences for more complex models are more common than those reflecting Occam’s razor. Implications extend to the Causal Narratives and Model Persuasion literatures. |
| Keywords: | Decision-making; Causal mechanisms; Causal Narratives; Model Persuasion; Causal interpretations |
| JEL: | C91 D01 D83 |
| Date: | 2024–04–30 |
| URL: | https://d.repec.org/n?u=RePEc:hhs:nhheco:2024_007&r= |
| By: | Gilligan, Daniel O.; Hirvonen, Kalle; Leight, Jessica; Tesfaye, Haleluya |
| Abstract: | The objective of this report is to present results from the midline survey conducted as part of the IMPEL evaluation of SPIR-II, a randomized controlled trial launched in 2022. The second phase of the Strengthen PSNP Institutions and Resilience (SPIR-II) project aims to enhance livelihoods, increase resilience to shocks, and improve food security and nutrition for rural households vulnerable to food insecurity in Ethiopia. The project is situated within Ethiopia’s Productive Safety Net Program (PSNP), one of the largest safety net programs in Africa. Funded by USAID’s Bureau for Humanitarian Assistance (BHA), SPIR-II is implemented by World Vision International (lead), CARE, and ORDA in the Amhara and Oromia regions of Ethiopia. The IMPEL SPIR-II impact evaluation employs an experimental design with three arms comparing two treatment combinations of livelihood and nutrition graduation model programming provided to PSNP beneficiaries relative to a control group receiving only PSNP transfers. The treatment assignment is randomized at the kebele level in 234 kebeles. In the first arm (T1; the control group), PSNP is implemented by the government with SPIR II support for the provision of cash and food transfers only (no supplemental programming). In the second arm (T2), SPIR-II programming is rolled out to PSNP beneficiary households in conjunction with nurturing care groups targeting enhanced infant and young child nutritional practices. In the third arm (T3), PSNP beneficiary households receive SPIR-II programming and nurturing care groups (NCGs), supplemented with additional targeted cash transfers to pregnant and lactating women. |
| Keywords: | cash transfers; children; food security; households; nutrition; poverty; women; Ethiopia; Eastern Africa |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:fpr:resrep:144025&r= |
| By: | Cowgill, Bo (Columbia Business School); Perkowski, Patryk (Yeshiva University) |
| Abstract: | Firms increasingly delegate job screening to third-party recruiters, who must not only satisfy employers' demand for different types of candidates, but also manage yield by anticipating candidates' likelihood of accepting offers. We study how recruiters balance these objectives in a novel, two-sided field experiment. Our results suggest that candidates' behavior towards employers is very correlated, but that employers' hiring behavior is more idiosyncratic. Workers discriminate using the race and gender of the employer's leaders more than employers discriminate against the candidate's race and gender. Black and female candidates face particularly high uncertainty, as their callback rates vary widely across employers. Callback decisions place about two thirds weight on employer's expected behavior and one third on yield management. We conclude by discussing the accuracy of recruiter beliefs and how they impact labor market sorting. |
| Keywords: | hiring, recruiting, discrimination, field experiments |
| JEL: | M51 C93 J71 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp17004&r= |
| By: | Wolter, Stefan C. (University of Bern); Zöllner, Thea (University of Bern) |
| Abstract: | Despite numerous measures intended to enhance gender equality, gender-specific study and career choices remain a persistent concern for policymakers and academics globally. We contribute to the literature on gendered career choices by focusing on explicitly stated parental preferences for their children’s occupations, using a large-scale randomized survey experiment with adults (N=5940) in Switzerland. The focus on parents (and hypothetical parents) is motivated by the observation that adolescents consistently mention their parents as the single most important factor influencing their career choices. The surveyed adults are presented with a realistic choice situation, in which their hypothetical daughter or son has been proposed two different training occupations. The pair of occupations presented to the adults is drawn from a random sample of 105 pairs of occupations, and the respondents are not informed about the gender distribution of the two occupations. Results show that adults are gender-neutral when advising a daughter but have a pronounced preference for male-dominated occupations when advising sons. Preferences are almost identical for parents and non-parents and across age cohorts of adults. |
| Keywords: | gender, occupational choice, career advice, vocational education |
| JEL: | J24 J16 |
| Date: | 2024–04 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp16955&r= |
| By: | Katherine B Coffman (Harvard Business School); Lucas Coffman (Boston College); Keith Marzilli Ericson (Boston University Questrom School of Business) |
| Abstract: | Economics research has largely overlooked non-binary individuals. We aim to jump-start the literature by providing data on several economically-important beliefs and preferences. Among many results, non-binary individuals report more gender- based discrimination and express different career and life aspirations, including less desire for children. Anti-non-binary sentiment is stronger than anti-LGBT sentiment, and strongest among men. Non-binary respondents report lower assertiveness than men and women, and their social preferences are similar to men’s and less prosocial than women’s, with age an important moderator. Elicited beliefs reveal inaccurate stereotypes as people often mistake the direction of group differences or exaggerate their size. |
| Keywords: | Gender differences, Non-binary gender, Experiments, Labor |
| JEL: | C90 D10 J10 |
| Date: | 2024–03–01 |
| URL: | http://d.repec.org/n?u=RePEc:boc:bocoec:1074&r= |
| By: | Thiemo Fetzer (University of Warwick, University of Bonn); Pedro CL Souza (Queen Mary University of London); Oliver Vanden Eynde (Paris School of Economics); Austin L Wright (Harris School of Public Policy, University of Chicago) |
| Abstract: | How domestic constituents respond to signals of weakness in foreign wars remains an important question in international relations. This paper studies the impact of battlefield casualties and media coverage on public demand for war termination. To identify the effect of troop fatalities, we leverage the timing of survey collection across respondents from nine members of the International Security Assistance Force in Afghanistan. Quasi-experimental evidence demonstrates that battlefield casualties increase the news coverage of Afghanistan and the public demand for withdrawal. Evidence from a survey experiment replicates the main results. To shed light on the media mechanism, we leverage a news pressure design and find that major sporting matches occurring around the time of battlefield casualties drive down subsequent coverage, and significantly weaken the effect of casualties on support for war termination. These results highlight the role that media play in shaping public support for foreign military interventions. |
| Keywords: | International security, public opinion, political economy, Afghanistan, NATO |
| JEL: | Q33 O13 N52 R11 L71 |
| Date: | 2024–06 |
| URL: | https://d.repec.org/n?u=RePEc:ajk:ajkdps:310&r= |
| By: | Flörchinger, Daniela; Frondel, Manuel; Sommer, Stephan; Andor, Mark Andreas |
| Abstract: | Using identification with the environmentalist movement Fridays for Future, this paper empirically tests the effect of a novel type of prime on pro-environmental behavior: the reminder of their previously stated attitude towards Fridays for Future. On the basis of a large-scale survey experiment including the incentivized choice between a voucher for a flight or a train ride, we find evidence that respondents who receive such an identity prime are more likely to behave in line with the movement's moral principles in that they take the train. Our results suggest that pro-environmental behavior may be enhanced by reminding individuals of their attitude towards environmental matters. |
| Abstract: | Anhand der Identifikation mit der Umweltbewegung Fridays for Future wird in diesem Beitrag empirisch die Wirkung einer neuen Art von Prime auf umweltfreundliches Verhalten getestet: die Erinnerung an die zuvor geäußerte Einstellung zu Fridays for Future. Auf der Grundlage eines groß angelegten Umfrageexperiments, das die Wahl zwischen einem Gutschein für einen Flug oder eine Zugfahrt vorsieht, finden wir Hinweise darauf, dass die Befragten, die einen solchen Prime erhalten haben, sich mit größerer Wahrscheinlichkeit im Einklang mit den moralischen Prinzipien der Bewegung verhalten, indem sie den Zug wählen. Unsere Ergebnisse deuten darauf hin, dass umweltfreundliches Verhalten durch die Erinnerung an die eigene Einstellung zu Umweltfragen gefördert werden kann. |
| Keywords: | Pro-social behavior, priming, cognitive dissonance |
| JEL: | D81 D91 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:rwirep:295230&r= |
| By: | Michael Grubb (Boston College); Darragh Kelly (Google); Jeroen Niebohr (London School of Economics); Matthew Osborne (University of Toronto); Jonathan Shaw (UK Financial Conduct Authority) |
| Abstract: | At-scale field experiments at major UK banks show that automatic enrollment into “just-in-time” text message alerts reduces unarranged overdraft and unpaid item charges 17–19% and arranged overdraft charges 4–8%, implying annual market-wide savings of £170–240 million. Incremental benefits from additional “early warning” alerts, triggered by low account balances are not statistically significant, although economically significant effects are not ruled out. Prior to the experiments, over half of overdrafting could have been avoided by using lower-cost liquidity available in savings and credit card accounts (FCA, 2018c). Alerts help consumers achieve less than half of these potential savings. |
| Keywords: | overdraft fees, early warning alerts, liquidity |
| JEL: | D14 D18 G21 G28 G51 |
| Date: | 2024–05–08 |
| URL: | http://d.repec.org/n?u=RePEc:boc:bocoec:1073&r= |
| By: | Garcia-Hombrados, Jorge (Universidad Autónoma de Madrid); Jansen, Marcel (Universidad Autónoma de Madrid); Martínez, Ángel (ESADE); Özcan, Berkay (London School of Economics); Rey-Biel, Pedro (ESADE); Roldán-Monés, Antonio (ESADE) |
| Abstract: | The implementation of evidence-based policies hinges on the dissemination of evidence to policymakers, a process influenced by the attributes of the sender. We conduct a country-wide RCT in which two ideologically opposite prominent think tanks, two major newspapers, and a research institution with nonsalient ideology communicate identical information about a low-cost, non-ideological, and effective policy based on published research findings to a large sample of Spanish local policymakers. We measure the impact of information directly on policy adoption and find heterogeneous effects. When the informing institution aligns ideologically with policymakers, communicating research results leads to a more than 65% increase in policy adoption compared to an uninformed control group, while informing from an opposite ideology does not lead to policy adoption. Our design also allows us to compare the impact of knowledge brokers, such as think tanks, and coverage in leading newspapers in adopting public policies. We find that, when ideologically aligned with policymakers, both are equally effective in increasing policy adoption. We propose a three-stage conceptual framework of policy adoption processes - selective exposure to information, belief updating, and policy implementation- and show that ideological alignment does not influence selective exposure to information. However, evidence from a post-intervention online experiment shows that ideological alignment affects belief updating regarding a recommended policy's effectiveness. Finally, we discuss the trade-offs between effectiveness and outreach when using ideologically aligned and nonsalient institutions to disseminate research evidence and comment on the economic impact of ideological alignment for policy implementation. |
| Keywords: | evidence-based, policy adoption, ideological alignment, RCT, policy brief, media |
| JEL: | P0 C93 D72 D78 D83 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp17007&r= |
| By: | Chang, Simon (University of Western Australia); Chatterjee, Ishita (University of Western Australia Business School); Yu, Li (Central University of Finance and Economics) |
| Abstract: | We conducted a large-scale lost letter experiment with a novel design across all seasons in Beijing to study whether ambient air pollution influences helping behavior. We assessed air pollution by PM2.5 and PM10. Our novel design allowed us to collect real-time granular data from the streets. To mitigate endogeneity bias, we used the occurrence and intensity of thermal inversion as instrumental variables. We found that ambient air pollution increased the probability for a lost letter to be posted. Our finding suggests that when exposed to ambient air pollution, individuals may cope with the resulting adverse mental states by helping others. |
| Keywords: | air pollution, helping behavior, particulate matter, thermal inversion, China |
| JEL: | D9 Q5 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp17011&r= |
| By: | David Reinstein; Anirudh Tagat; Anonymous |
| Abstract: | This summarizes the evaluations of the paper "Do Celebrity Endorsements Matter? A Twitter Experiment Promoting Vaccination In Indonesia" (2019). To read the evaluations, please see the links below. See the "Unjournal Process" section for notes on the versions of the paper evaluated. |
| Date: | 2023–08–10 |
| URL: | http://d.repec.org/n?u=RePEc:bjn:evalua:alatasevalsum&r= |
| By: | Valasek, Justin (Dept. of Economics, Norwegian School of Economics and Business Administration); Vorjohann, Pauline (University of Exeter Business School); Wang, Weijia (Dept. of Economics, Norwegian School of Economics and Business Administration) |
| Abstract: | An influential subset of the literature on distributional preferences studies how preferences condition on characteristics such as workers' relative productivity. In this study we establish that there are default effects when such conditional fairness preferences are measured using the "inequality acceptance" method. Depending on the default, implemented inequality decreases by over 65% and cross-country differences are not observed. To organize the data, we develop a simple framework in which agents form a reference point based on a combination of the distribution suggested by their fairness ideal and the default. We use this framework to illustrate that choice data from different defaults is needed to separately identify the fairness ideal and effect of the default, and discuss best practices for measuring fairness preferences. |
| Keywords: | inequality; fairness; inequality acceptance; default effects; experiment |
| JEL: | C91 D63 J16 |
| Date: | 2024–06–04 |
| URL: | https://d.repec.org/n?u=RePEc:hhs:nhheco:2024_009&r= |
| By: | Schnorpfeil, Philip; Weber, Michael; Hackethal, Andreas |
| Abstract: | We study how investors respond to inflation combining a customized survey experiment with trading data at a time of historically high inflation. Investors' beliefs about the stock return-inflation relation are very heterogeneous in the cross section and on average too optimistic. Moreover, many investors appear unaware of inflationhedging strategies despite being otherwise well-informed about inflation and asset returns. Consequently, whereas exogenous shifts in inflation expectations do not impact return expectations, information on past returns during periods of high inflation leads to negative updating about the perceived stock-return impact of inflation, which feeds into return expectations and subsequent actual trading behavior. |
| Keywords: | Belief Formation, Field Experiment, Inflation, Trading |
| JEL: | C93 D14 D83 D84 E22 E31 E44 G11 G51 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:safewp:296483&r= |
| By: | Peter van der Windt (New York University - Abu Dhabi); Leonid Peisakhin (New York University - Abu Dhabi); Nik Stoop (University of Antwerp, Research Foundation Flanders) |
| Abstract: | Tens of millions of individuals are displaced due to violence, and most are hosted by other households in their home countries. We ask what motivates people to host the forcibly displaced. We are interested in whether empathy increases the willingness to host but also consider alternative explanations. To explore the correlates of hosting we collected survey data from 1, 504 households in the Democratic Republic of the Congo, fielded in-depth interviews, and implemented an experiment. We employ a novel strategy to measure hosting behavior, where household characteristics are measured prior to the arrival of displaced persons. We find that households with higher empathy are more likely to host in the ten-month period following the survey. There is no evidence that ethnicity, religiosity or wealth affect hosting behavior. Results from the experiment suggest that it is difficult to increase hosting propensity in the longer term (4+ months) through simple interventions. |
| Keywords: | Civil War, Displacement, Hosting, Experiment, Democratic Republic of Congo |
| JEL: | D74 O15 C93 C83 |
| Date: | 2024–05 |
| URL: | https://d.repec.org/n?u=RePEc:hic:wpaper:412&r= |
| By: | Beber, Bernd; Ebert, Cara; Sievert, Maximiliane |
| Abstract: | We investigate the extent to which asylum policies that aim to deter individuals from migrating irregularly in fact do so. We specifically consider effects of Germany's recent and high-profile asylum policy adjustments, which include accelerated asylum decision processes, the prospect of asylum processing outside of Europe, the introduction of a payment card to replace cash benefits, and an extended waiting period for native-level benefits. In order to estimate effects of these policy measures on irregular migration intent, we implement a conjoint experiment with 989 men aged 18-40 in four cities in Senegal, a population of most-likely migrants in a country where irregular migration to Europe is highly salient. We find that offshoring the asylum process significantly and substantially lowers irregular migration intentions across nearly all types of subjects. Extending the waiting time for native-level benefits only has a small, marginally significant effect on intent, and no effect among the poorest subjects and those that are most motivated to migrate internationally. Neither reducing asylum processing times nor replacing cash benefits with a payment card significantly alters intentions. We note that the presence or absence of an effect does not resolve political and normative questions concerning these policies, which are beyond the scope of this particular study. |
| Abstract: | Wir untersuchen, inwieweit asylpolitische Maßnahmen, die darauf abzielen, Menschen von irregulärer Migration abzuhalten, dies auch tatsächlich tun. Wir untersuchen insbesondere die Auswirkungen der jüngsten und öffentlichkeitswirksamen Anpassungen der deutschen Asylpolitik, zu denen beschleunigte Asylentscheidungsverfahren, die Aussicht auf Asylverfahren außerhalb Europas, die Einführung einer Bezahlkarte als Ersatz für Barleistungen und eine verlängerte Wartezeit für Analogleistungen gehören. Um die Auswirkungen dieser politischen Maßnahmen auf die Absicht der irregulären Migration zu schätzen, führen wir ein Conjoint-Experiment mit 989 Männern im Alter von 18 bis 40 Jahren in vier senegalesischen Städten durch, also mit einer Bevölkerungsgruppe, in der irreguläre Migration nach Europa präsent ist. Wir stellen fest, dass die Verlagerung des Asylverfahrens die Absicht zur irregulären Migration bei fast allen Subjekttypen signifikant und erheblich senkt. Die Verlängerung der Wartezeit für Analogleistungen hat nur einen kleinen, marginal signifikanten Effekt auf Migrationsabsichten, und keinen Effekt bei den ärmsten Personen und denjenigen, die am meisten motiviert sind, international zu migrieren. Weder die Verkürzung der Bearbeitungszeiten für Asylanträge noch die Ersetzung von Geldleistungen durch eine Bezahlkarte haben einen signifikanten Einfluss auf die relevante Migrationsabsicht. Wir weisen darauf hin, dass das Vorhandensein oder Nichtvorhandensein eines Effekts politische und normative Fragen in Bezug auf diese Maßnahmen nicht löst. |
| Keywords: | Asylum policy, irregular migration, conjoint experiment |
| JEL: | F22 J61 K37 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:rwirep:295228&r= |
| By: | Anonymous |
| Abstract: | This is an evaluation of The Governance Of Non-Profits And Their Social Impact: Evidence From A Randomized Program In Healthcare In DRC". |
| Date: | 2023–05–29 |
| URL: | http://d.repec.org/n?u=RePEc:bjn:evalua:governance-e1&r= |
| By: | Dezsîo, Linda; Koch, Christian |
| Abstract: | In an online experiment, we examine how ingroup bias and fairness concerns shape the redistributive preferences of UK resident natives and immigrants. Natives and immigrants were paired in a series of distributive situations. They chose how to divide a pie created from either party's previous contributions and stated what they believed to be their fair share from the vantage point of UK residents acting as unbiased spectators. In a complementary survey, we obtained these spectator divisions. We found that natives' and immigrants' distributive choices were absent ingroup bias. Their choices were, however, selfishly biased, as they invoked the fact that the pie was created solely from their own contributions. This behavior was eliminated when it disproportionately harmed the partner. Their fairness beliefs showed evidence of egocentric norm adoption: they favored equity as contributors and equality as noncontributors. They also believed that spectators would negatively discriminate against immigrants in favor of natives, but this perception was unfounded in light of spectators' divisions. We discuss the implications of our results for immigration research and integration policies. |
| Abstract: | In einem Online-Experiment untersuchen wir, wie Voreingenommenheit und Gerechtigkeitsbedenken, die Umverteilungspräferenzen von in Großbritannien ansässigen Einheimischen und Einwanderern beeinflussen. Einheimische und Einwanderer wurden in einer Reihe von Verteilungssituationen miteinander gepaart. Sie entschieden, wie ein Kuchen, der aus den vorherigen Beiträgen beider Parteien entstanden war, aufgeteilt werden sollte und gaben an, was sie aus der Sicht der britischen Einwohner, die als unvoreingenommene Zuschauer agierten, für ihren gerechten Anteil hielten. Die Zuschaueraufteilung erhielten wir durch eine ergänzenden Umfrage. Wir stellten fest, dass die Verteilungsentscheidungen von Einheimischen und Einwanderern keine Eigengruppen-Voreingenommenheit zeigten. Ihre Entscheidungen waren jedoch egoistisch voreingenommen, da sie darauf hinwiesen, dass der Kuchen ausschließlich aus ihren eigenen Beiträgen entstanden war. Dieses Verhalten verschwand, wenn es dem Partner unverhältnismäßig schadete. Ihre Fairness-Überzeugungen zeigten Hinweise auf egozentrische Normübernahme: Sie bevorzugten Gleichheit als Beitragszahler und Gleichberechtigung als Nicht-Beitragszahler. Sie glaubten außerdem, dass Zuschauer negativ gegen Einwanderer und zugunsten von Einheimischen diskriminieren würden, aber diese Wahrnehmung war im Hinblick auf die Aufteilungen der Zuschauer unbegründet. Die Auswirkungen unserer Ergebnisse wurden in Kontext mit der Migrationsforschung und Integrationspolitik gesetzt. |
| Keywords: | redistribution, equity, equality, United Kingdom, contributions, ingroup bias, self-serving behavior, egocentric norms, fairness, natives, immigrants |
| JEL: | C99 D69 D91 J15 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:ecoarp:296484&r= |
| By: | Brummel, Lars; Toshkov, Dimiter |
| Abstract: | Governments often face social protests contesting their policies and reform plans. In liberal democracies, governments are expected to listen to and consider the demands of the protesters. But in reality, there is often a trade-off between accommodating protesters and enacting timely and effective policies. We study the preferences of citizens for government actions in the context of significant social protests – from canceling and delaying the policies to pushing through with the reforms ignoring protesters to banning protests altogether. To do that, we conduct a survey experiment in the Netherlands in which we manipulate the level of government enacting reforms contested by social protests and whether the reforms are supported or opposed by a majority of the citizens. We also measure whether respondents agree with the substance of the reforms and their trust in government. The results indicate that people are more likely to support governments pushing through with reforms and ignoring social protests when the reforms enjoy majority support and respondents agree with the direction of the reform proposal. Trust in government has a similar effect, but the level of government does not matter. There is very little support for banning protests altogether, and none of the factors we consider predict this attitude. These findings suggest that – even in well-established democracies – citizens’ views on whether governments should listen to, rather than ignore, social protests are contingent on the policy content of the contested government reforms and the existence of majority support for such reforms in society; hence, on a mixture of instrumental and principled reasons, with the principle reflecting a majoritarian view of democracy. |
| Date: | 2024–05–21 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:neh5u&r= |
| By: | Roland Bénabou; Nikhil Vellodi |
| Abstract: | We study a sequential experimentation model with endogenous feedback. Agents choose between a safe and risky action, the latter generating stochastic rewards. When making this choice, each agent is selfishly motivated (myopic). However, agents can disclose their experiences to a public record, and when doing so are pro-socially motivated (forward-looking). When prior uncertainty is large, disclosure is both polarized (only extreme signals are disclosed) and positively biased (no feedback is bad news). When prior uncertainty is small, a novel form of unraveling occurs and disclosure is complete. Subsidizing disclosure costs can perversely lead to less disclosure but more experimentation. |
| JEL: | D82 D83 D91 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32483&r= |
| By: | Humlum, Anders (University of Chicago Booth School of Business); Vestergaard, Emilie (University of Copenhagen) |
| Abstract: | We study the adoption of ChatGPT, the icon of Generative AI, using a large-scale survey experiment linked to comprehensive register data in Denmark. Surveying 100, 000 workers from 11 exposed occupations, we document ChatGPT is pervasive: half of workers have used it, with younger, less experienced, higher-achieving, and especially male workers leading the curve. Why have some workers adopted ChatGPT, and others not? Workers see a substantial productivity potential in ChatGPT but are often hindered by employer restrictions and required training. Informing workers about expert assessments of ChatGPT shifts workers' beliefs and intentions but has limited impacts on actual adoption. |
| Keywords: | technology adoption, labor productivity |
| JEL: | J24 O33 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp16992&r= |
| By: | Tanya O'Garra |
| Abstract: | Evaluation Summary and Metrics: "The Governance Of Non-Profits And Their Social Impact: Evidence From A Randomized Program In Healthcare In DRC" |
| Date: | 2023–05–29 |
| URL: | http://d.repec.org/n?u=RePEc:bjn:evalua:governanceevalsum&r= |
| By: | Radu Tanase; Ren\'e Algesheimer; Manuel S. Mariani |
| Abstract: | Addressing global challenges -- from public health to climate change -- often involves stimulating the large-scale adoption of new products or behaviors. Research traditions that focus on individual decision making suggest that achieving this objective requires better identifying the drivers of individual adoption choices. On the other hand, computational approaches rooted in complexity science focus on maximizing the propagation of a given product or behavior throughout social networks of interconnected adopters. The integration of these two perspectives -- although advocated by several research communities -- has remained elusive so far. Here we show how achieving this integration could inform seeding policies to facilitate the large-scale adoption of a given behavior or product. Drawing on complex contagion and discrete choice theories, we propose a method to estimate individual-level thresholds to adoption, and validate its predictive power in two choice experiments. By integrating the estimated thresholds into computational simulations, we show that state-of-the-art seeding methods for social influence maximization might be suboptimal if they neglect individual-level behavioral drivers, which can be corrected through the proposed experimental method. |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2405.13224&r= |
| By: | Keyu Wu; Ernst Fehr; Sean Hofland; Martin Schonger |
| Abstract: | Ambiguous prospects are ubiquitous in social and economic life, but the psychological foundations of behavior under ambiguity are still not well understood. One of the most robust empirical regularities is the strong correlation between attitudes towards ambiguity and compound risk which suggests that compound risk aversion may provide a psychological foundation for ambiguity aversion. However, compound risk aversion and ambiguity aversion may also be independent psychological phenomena, but what would then explain their strong correlation? We tackle these questions by training a treatment group’s ability to reduce compound to simple risks, and analyzing how this affects their compound risk and ambiguity attitudes in comparison to a control group who is taught something unrelated to reducing compound risk. We find that aversion to compound risk disappears almost entirely in the treatment group, while the aversion towards both artificial and natural sources of ambiguity remain high and are basically unaffected by the teaching of how to reduce compound lotteries. Moreover, similar to previous studies, we observe a strong correlation between compound risk aversion and ambiguity aversion, but this correlation only exists in the control group while in the treatment group it is rather low and insignificant. These findings suggest that ambiguity attitudes are not a psychological relative, and derived from, attitudes towards compound risk, i.e., compound risk aversion and ambiguity aversion do not share the same psychological foundations. While compound risk aversion is primarily driven by a form of bounded rationality – the inability to reduce compound lotteries – ambiguity aversion is unrelated to this inability, suggesting that ambiguity aversion may be a genuine preference in its own right. |
| Date: | 2024–05 |
| URL: | https://d.repec.org/n?u=RePEc:zur:econwp:444&r= |