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The Causal Effect of Market Priming on Trust: An Experimental Investigation Using Randomized Control

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Listed:
  • Omar Al-Ubaydli
  • Daniel Houser
  • John Nye
  • Maria Pia Paganelli
  • Xiaofei Sophia Pan

Abstract

We report data from laboratory experiments where participants were primed using phrases related to markets and trade. Participants then participated in trust games with anonymous strangers. The decisions of primed participants are compared to those of a control group. We find evidence that priming for market participation affects positively the beliefs regarding the trustworthiness of anonymous strangers and increases trusting decisions.

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  • Omar Al-Ubaydli & Daniel Houser & John Nye & Maria Pia Paganelli & Xiaofei Sophia Pan, 2013. "The Causal Effect of Market Priming on Trust: An Experimental Investigation Using Randomized Control," PLOS ONE, Public Library of Science, vol. 8(3), pages 1-8, March.
    • Handle: RePEc:plo:pone00:0055968
    DOI: 10.1371/journal.pone.0055968
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    2. Shakun D. Mago & Jennifer Pate, 2023. "Greed and fear: Competitive and charitable priming in a threshold volunteer's dilemma," Economic Inquiry, Western Economic Association International, vol. 61(1), pages 138-161, January.
    3. Omar Al-Ubaydli & John A. List, 2016. "Field Experiments in Markets," NBER Working Papers 22113, National Bureau of Economic Research, Inc.
    4. Gold, Natalie, 2020. "How should we reconcile self-regarding and pro-social motivations? A renaissance of “Das Adam Smith Problem”," LSE Research Online Documents on Economics 109218, London School of Economics and Political Science, LSE Library.
    5. Ginny Seung Choi & Virgil Henry Storr, 2020. "Market interactions, trust and reciprocity," PLOS ONE, Public Library of Science, vol. 15(5), pages 1-32, May.
    6. Maria Pia Paganelli, 2018. "Adam Smith on the future of experimental evolution and economics," Journal of Bioeconomics, Springer, vol. 20(1), pages 23-28, April.
    7. Nana Adrian & Ann-Kathrin Crede & Jonas Gehrlein, 2019. "Market Interaction and the Focus on Consequences in Moral Decision Making," Diskussionsschriften dp1905, Universitaet Bern, Departement Volkswirtschaft.
    8. Bjorvatn, Kjetil & Tungodden, Bertil, 2015. "Disabled by stereotype? Experimental evidence from Uganda," Journal of Economic Behavior & Organization, Elsevier, vol. 118(C), pages 268-280.
    9. Paul Rauwolf & Joanna J. Bryson, 2018. "Expectations of Fairness and Trust Co-Evolve in Environments of Partial Information," Dynamic Games and Applications, Springer, vol. 8(4), pages 891-917, December.
    10. Dold, Malte & Lewis, Paul, 2022. "F.A. Hayek on the political economy of endogenous preferences: An historical overview and contemporary assessment," Journal of Economic Behavior & Organization, Elsevier, vol. 196(C), pages 104-119.
    11. Xin, Ziqiang & Xin, Sufei, 2017. "Marketization process predicts trust decline in China," Journal of Economic Psychology, Elsevier, vol. 62(C), pages 120-129.
    12. Eric Schniter & Roman M. Sheremeta, 2014. "Predictable and Predictive Emotions: Explaining Cheap Signals and Trust Re-Extension," Working Papers 14-07, Chapman University, Economic Science Institute.
    13. Benistant, Julien & Galeotti, Fabio & Villeval, Marie Claire, 2022. "Competition, information, and the erosion of morals," Journal of Economic Behavior & Organization, Elsevier, vol. 204(C), pages 148-163.
    14. Sean M. Collins & John R. Hamman & John P. Lightle, 2018. "Market Interaction and Pro‐Social Behavior: An Experimental Study," Southern Economic Journal, John Wiley & Sons, vol. 84(3), pages 692-715, January.
    15. Pan, Xiaofei & Houser, Daniel, 2019. "Why trust out-groups? The role of punishment under uncertainty," Journal of Economic Behavior & Organization, Elsevier, vol. 158(C), pages 236-254.
    16. Zou, Wenbo & Wang, Jinjie & Yan, Jubo, 2022. "Online markets and trust," Journal of Economic Behavior & Organization, Elsevier, vol. 201(C), pages 395-412.
    17. Alain Cohn & Michel André Maréchal, 2016. "Priming in economics," ECON - Working Papers 226, Department of Economics - University of Zurich.
    18. Thomas Buser & Anna Dreber, 2016. "The Flipside of Comparative Payment Schemes," Management Science, INFORMS, vol. 62(9), pages 2626-2638, September.
    19. Long Wang & J. Keith Murnighan, 2017. "How Much Does Honesty Cost? Small Bonuses Can Motivate Ethical Behavior," Management Science, INFORMS, vol. 63(9), pages 2903-2914, September.

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