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Breaking the norm: An empirical investigation into the unraveling of good behavior

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  • Hill, Ruth Vargas
  • Maruyama, Eduardo
  • Viceisza, Angelino

Abstract

We present results from an artefactual field experiment conducted in rural Peru that considers how observing nonreciprocal behavior influences an individual's decision to reciprocate. Specifically, we consider the behavior of second movers in a trust game, assessing how their decision to reciprocate is influenced by the observed behavior of others and the extent to which their actions can be observed. In documenting how an external shock to the number observed not to reciprocate influences reciprocation, the paper endeavors to provide some insight into how reciprocity can unravel when individuals are learning behavior in a new market institution.

Suggested Citation

  • Hill, Ruth Vargas & Maruyama, Eduardo & Viceisza, Angelino, 2010. "Breaking the norm: An empirical investigation into the unraveling of good behavior," IFPRI discussion papers 948, International Food Policy Research Institute (IFPRI).
    • Handle: RePEc:fpr:ifprid:948
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    Cited by:

    1. Torero, Maximo & Viceisza, Angelino C.G., 2016. "Potential collusion and trust: Evidence from a field experiment in Vietnam," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 11(1), pages 1-11.
    2. Aflahagah, Fo Kodjo Dzinyefa & Bernard, Tanguy & Viceisza, Angelino, 2015. "Communication and coordination: Experimental evidence from farmer groups in Senegal:," IFPRI discussion papers 1450, International Food Policy Research Institute (IFPRI).
    3. Adam Maxwell Sparks & Daniel M T Fessler & Colin Holbrook, 2019. "Elevation, an emotion for prosocial contagion, is experienced more strongly by those with greater expectations of the cooperativeness of others," PLOS ONE, Public Library of Science, vol. 14(12), pages 1-29, December.
    4. Aflagah, Kodjo & Bernard, Tanguy & Viceisza, Angelino, 2022. "Cheap talk and coordination in the lab and in the field: Collective commercialization in Senegal," Journal of Development Economics, Elsevier, vol. 154(C).
    5. Charness, Gary & Viceisza, Angelino, 2011. "Comprehension and risk elicitation in the field: Evidence from rural Senegal," IFPRI discussion papers 1135, International Food Policy Research Institute (IFPRI).

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    More about this item

    Keywords

    artefactual field experiment; norms; nonreciprocal behavior; Trust; Markets; Institutions;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments

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