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Lying About What You Know Or About What You Do?

Listed author(s):
  • Marta Serra-Garcia
  • Eric van Damme
  • Jan Potters

We compare communication about private information to communication about actions in a one-shot 2-person public good game with private information. The informed player, who knows the exact return from contributing and whose contribution is unobserved, can send a message about the return or her contribution. Theoretically, messages can elicit the uninformed player’s contribution, and allow the informed player to free-ride. The exact language used is not expected to matter. Experimentally, however, we find that free-ride depends on the language: the informed player free-rides less—and thereby lies less frequently—when she talks about her contribution than when she talks about the return. Further experimental evidence indicates that it is the promise component in messages about the contribution that leads to less free-ride and less lying.
(This abstract was borrowed from another version of this item.)

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File URL: http://hdl.handle.net/10.1111/jeea.2013.11.issue-5
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Article provided by European Economic Association in its journal Journal of the European Economic Association.

Volume (Year): 11 (2013)
Issue (Month): 5 (October)
Pages: 1204-1229

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Handle: RePEc:bla:jeurec:v:11:y:2013:i:5:p:1204-1229
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  1. Jordi Brandts & David J. Cooper, 2007. "It's What You Say, Not What You Pay: An Experimental Study of Manager–Employee Relationships in Overcoming Coordination Failure," Journal of the European Economic Association, MIT Press, vol. 5(6), pages 1223-1268, December.
  2. Bracht, Juergen & Feltovich, Nick, 2009. "Whatever you say, your reputation precedes you: Observation and cheap talk in the trust game," Journal of Public Economics, Elsevier, vol. 93(9-10), pages 1036-1044, October.
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