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Compliance and the power of authority

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  • Karakostas, Alexandros
  • Zizzo, Daniel John

Abstract

Compliance to authority is an integral part of how organizations operate. We use an experiment to show that compliance to a cue by an authority is a powerful motivating mechanism. We do this in an experiment where there are direct orders or indirect cues to destroy half of another participant's earnings at a cost to one's own earnings. Depending on the experimental treatment, up to around 60–70% of participants decide to comply with the orders or cues being provided.

Suggested Citation

  • Karakostas, Alexandros & Zizzo, Daniel John, 2016. "Compliance and the power of authority," Journal of Economic Behavior & Organization, Elsevier, vol. 124(C), pages 67-80.
  • Handle: RePEc:eee:jeborg:v:124:y:2016:i:c:p:67-80
    DOI: 10.1016/j.jebo.2015.09.016
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    15. James Alm, 2019. "What Motivates Tax Compliance?," Journal of Economic Surveys, Wiley Blackwell, vol. 33(2), pages 353-388, April.
    16. Leonard Hoeft & Michael Kurschilgen & Wladislaw Mill & Simone Vannuccini, 2022. "Norms as Obligations," Munich Papers in Political Economy 22, Munich School of Politics and Public Policy and the School of Management at the Technical University of Munich.
    17. Vázquez-Suárez, Luis & Mejía-Vásquez, Pericles Ramón & Serafim da Silva, Sheila & Sánchez-Gómez, Roberto, 2022. "Gender’s moderating role in the relationship between organisational form and performance in the Spanish supermarket industry," Journal of Retailing and Consumer Services, Elsevier, vol. 64(C).
    18. Carlos Maximiliano Senci & Hipólito Hasrun & Rodrigo Moro & Esteban Freidin, 2019. "The influence of prescriptive norms and negative externalities on bribery decisions in the lab," Rationality and Society, , vol. 31(3), pages 287-312, August.
    19. Julian Conrads & Tommaso Reggiani, 2017. "The effect of communication channels on promise-making and promise-keeping: experimental evidence," Journal of Economic Interaction and Coordination, Springer;Society for Economic Science with Heterogeneous Interacting Agents, vol. 12(3), pages 595-611, October.
    20. Wright, Reilly & Aldama, Abraham, 2023. "Not all luck is created equal: Sources of income inequality and willingness to redistribute," Journal of Economic Psychology, Elsevier, vol. 97(C).
    21. Farrow, Katherine & Romaniuc, Rustam, 2019. "The stickiness of norms," International Review of Law and Economics, Elsevier, vol. 58(C), pages 54-62.
    22. Carlos Alós-Ferrer & Jaume García-Segarra & Alexander Ritschel, 2018. "The Big Robber Game," ECON - Working Papers 291, Department of Economics - University of Zurich.
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    More about this item

    Keywords

    Compliance; Obedience; Conformism; Social pressure; Experimenter demand; Antisocial behavior;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • M12 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Personnel Management; Executives; Executive Compensation
    • H8 - Public Economics - - Miscellaneous Issues

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