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Lies and biased evaluation: A real-effort experiment

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  • Rosaz, Julie
  • Villeval, Marie Claire

Abstract

Employees’ performance evaluation has been generalized in companies but biased reviews and misreporting may impair its quality. In our experiment workers perform a real-effort task and supervisors report the workers’ performance to the experimenter. We find that more than one third of supervisors misreport their worker's performance. Misreporting mainly consists of selfish black lies (that increase the supervisor's earnings at the detriment of the worker) and Pareto white lies (that increase the earnings of both), according to Erat and Gneezy's (2012) terminology. Workers anticipate biased appraisals and misreporting is more frequent when supervisors’ second-order beliefs are elicited.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Economic Behavior & Organization.

Volume (Year): 84 (2012)
Issue (Month): 2 ()
Pages: 537-549

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Handle: RePEc:eee:jeborg:v:84:y:2012:i:2:p:537-549

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Web page: http://www.elsevier.com/locate/jebo

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Keywords: Performance evaluation; Lies; Deception; Misreporting; Guilt-aversion; Experiment;

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References

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Cited by:
  1. Filippin, A. & Crosetto, P., 2014. "A reconsideration of gender differences in risk attitudes," Working Papers 2014-01, Grenoble Applied Economics Laboratory (GAEL).
  2. Jingnan (Cecilia) Chen & Daniel Houser, 2013. "Promises and Lies: An Experiment on Detecting Deception," Working Papers 1038, George Mason University, Interdisciplinary Center for Economic Science, revised Feb 2013.

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