nep-neu New Economics Papers
on Neuroeconomics
Issue of 2021‒06‒21
two papers chosen by



  1. Gender and psychological pressure in competitive environments By Alison L. Booth; Patrick Nolen
  2. The Roots of Cooperation By Zvonimir Bašić; Parampreet C. Bindra; Daniela Glätzle-Rützler; Angelo Romano; Matthias Sutter; Claudia Zoller

  1. By: Alison L. Booth; Patrick Nolen
    Abstract: Gender differences in paid performance under competition have been found in many laboratory-based experiments, and it has been suggested that these may arise because men and women respond differently to psychological pressure in competitive environments. To explore this further, we conducted a laboratory experiment comprising 444 subjects, and measured gender differences in performance in four distinct competitive situations. These were as follows: (i) the standard tournament game where the subject competes with three other individuals and the winner takes all; (ii) an anonymized competition in which an individual competes against an imposed production target and is paid only if s/he exceeds it; (iii) a ‘personified’ competition where an individual competes against a target based on the previous performance of one anonymised person of unknown gender; and (iv) a ‘gendered’ competition where an individual competes against a target based on the previous performance of one anonymised person whose gender is known. We found that only men respond to pressure differently in each situation; women responded the same to pressure no matter the situation. Moreover, the personified target caused men to increase performance more than under an anonymized target and, when the gender of the person associated with the target was revealed, men worked even harder to outperform a woman but strived only to equal the target set by a male.
    Keywords: psychological pressure, tournament, piece rate, gender, competitive behaviour, experiment
    JEL: C91 C92 J16 J33 M52
    Date: 2021–04
    URL: http://d.repec.org/n?u=RePEc:een:camaaa:2021-41&r=
  2. By: Zvonimir Bašić (Max Planck Institute for Research on Collective Goods Bonn, Germany); Parampreet C. Bindra (University of Innsbruck, Austria); Daniela Glätzle-Rützler (University of Innsbruck, Austria); Angelo Romano (Leiden University, Netherlands); Matthias Sutter (Max Planck Institute for Research on Collective Goods Bonn, University of Cologne, Germany, University of Innsbruck, Austria, IZA Bonn, and CESifo Munich, Germany); Claudia Zoller (Management Center Innsbruck, Austria)
    Abstract: Understanding the roots of human cooperation among strangers is of great importance for solving pressing social dilemmas and maintening public goods in human societies. We study the development of cooperation in 929 young children, aged 3 to 6. In a unified experimental framework, we examine which of three fundamental pillars of human cooperation – direct and indirect reciprocity as well as third-party punishment – emerges earliest as an effective means to increase cooperation in a repeated prisoner’s dilemma game. We find that third-party punishment exhibits a strikingly positive effect on cooperation rates by doubling them in comparison to a control condition. It promotes cooperative behavior even before punishment of defectors is applied. Children also engage in reciprocating others, showing that reciprocity strategies are already prevalent at a very young age. However, direct and indirect reciprocity treatments do not increase overall cooperation rates, as young children fail to anticipate the benefits of reputation building. We also show that the cognitive skills of children and the socioeconomic background of parents play a vital role in the early development of human cooperation.
    Keywords: Cooperation, reciprocity, third-party punishment, reputation, children, parents, cognitive abilities, socioeconomic status, prisoner’s dilemma game, experiment
    JEL: C91 C93 D01 D91 H41
    Date: 2021–06
    URL: http://d.repec.org/n?u=RePEc:ajk:ajkdps:097&r=

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