How to identify trust and reciprocity
This paper uses a three-games (or triadic) design to identify trusting and reciprocating behavior. A large literature on single-game trust and reciprocity experiments is based on the implicit assumption that subjects do not have altruistic or inequality-averse other-regarding preferences. Such exper...
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| Published in | Games and economic behavior Vol. 46; no. 2; pp. 260 - 281 |
|---|---|
| Main Author | |
| Format | Journal Article |
| Language | English |
| Published |
Duluth
Elsevier Inc
01.02.2004
Elsevier Academic Press |
| Series | Games and Economic Behavior |
| Subjects | |
| Online Access | Get full text |
| ISSN | 0899-8256 1090-2473 |
| DOI | 10.1016/S0899-8256(03)00119-2 |
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| Abstract | This paper uses a three-games (or triadic) design to identify trusting and reciprocating behavior. A large literature on single-game trust and reciprocity experiments is based on the implicit assumption that subjects do not have altruistic or inequality-averse other-regarding preferences. Such experimental designs test compound hypotheses that include the hypothesis that other-regarding preferences do not affect behavior. In contrast, experiments with the triadic design do discriminate between transfers resulting from trust or reciprocity and transfers resulting from other-regarding preferences that are not conditional on the behavior of others. Decomposing trust from altruism and reciprocity from altruism or inequality aversion is critical to obtaining empirical information that can guide the process of constructing models that can increase the empirical validity of game theory. |
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| AbstractList | This paper uses a three-games (or triadic) design to identify trusting and reciprocating behavior. A large literature on single-game trust and reciprocity experiments is based on the implicit assumption that subjects do not have altruistic or inequality-averse other-regarding preferences. Such experimental designs test compound hypotheses that include the hypothesis that other-regarding preferences do not affect behavior. In contrast, experiments with the triadic design do discriminate between transfers resulting from trust or reciprocity and transfers resulting from other-regarding preferences that are not conditional on the behavior of others. Decomposing trust from altruism and reciprocity from altruism or inequality aversion is critical to obtaining empirical information that can guide the process of constructing models that can increase the empirical validity of game theory. [PUBLICATION ABSTRACT] This paper uses a three-games (or triadic) design to identify trusting and reciprocating behavior. A large literature on single-game trust and reciprocity experiments is based on the implicit assumption that subjects do not have altruistic or inequality-averse other-regarding preferences. Such experimental designs test compound hypotheses that include the hypothesis that other-regarding preferences do not affect behavior. In contrast, experiments with the triadic design do discriminate between transfers resulting from trust or reciprocity and transfers resulting from other-regarding preferences that are not conditional on the behavior of others. Decomposing trust from altruism and reciprocity from altruism or inequality aversion is critical to obtaining empirical information that can guide the process of constructing models that can increase the empirical validity of game theory. |
| Author | Cox, James C. |
| Author_xml | – sequence: 1 givenname: James C. surname: Cox fullname: Cox, James C. email: jcox@eller.arizona.edu organization: Department of Economics, 401 McClelland Hall, University of Arizona, Tucson, AZ 85721-0108, USA |
| BackLink | http://econpapers.repec.org/article/eeegamebe/v_3a46_3ay_3a2004_3ai_3a2_3ap_3a260-281.htm$$DView record in RePEc |
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| SubjectTerms | Altruism Behavior Economic behaviour Experimental economics Game theory Games Inequality Organizational behavior Reciprocity Studies Trust |
| Title | How to identify trust and reciprocity |
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