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Identifying In-Group and Out-Group Effects in the Trust Game

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  • Smith Alexander

    (Worcester Polytechnic Institute)

Abstract

This paper presents an experiment measuring how lab-induced group identity affects trust and trustworthiness in a repeated trust game with random matching. Identity had positive in-group and negative out-group effects on trust. However, the in-group effect was small and statistically insignificant, while the out-group effect was large. Trustworthiness was determined mainly by reciprocity effects.

Suggested Citation

  • Smith Alexander, 2011. "Identifying In-Group and Out-Group Effects in the Trust Game," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 11(1), pages 1-13, June.
  • Handle: RePEc:bpj:bejeap:v:11:y:2011:i:1:n:38
    DOI: 10.2202/1935-1682.2878
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    References listed on IDEAS

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    Cited by:

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    4. Adjemian, Michael K. & Bruno, Valentina G. & Robe, Michel A., 2016. "Forward‐Looking USDA Price Forecasts," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235931, Agricultural and Applied Economics Association.
    5. Luo, Jun & Wang, Xinxin, 2020. "Hukou identity and trust—Evidence from a framed field experiment in China," China Economic Review, Elsevier, vol. 59(C).
    6. Rabbani, Mehnaz & Rahman, Semab & Tasneem, Dina, 2022. "Trust and citizen participation in community-based monitoring system: An experimental evidence from Bangladesh," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 98(C).
    7. van den Akker, Olmo R. & van Assen, Marcel A.L.M. & van Vugt, Mark & Wicherts, Jelte M., 2020. "Sex differences in trust and trustworthiness: A meta-analysis of the trust game and the gift-exchange game," Journal of Economic Psychology, Elsevier, vol. 81(C).

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