IDEAS home Printed from https://ideas.repec.org/a/sae/jothpo/v24y2012i1p90-109.html
   My bibliography  Save this article

Greater than the sum of their parts? When combinations of institutions improve citizens’ decisions

Author

Listed:
  • Cheryl Boudreau

Abstract

Many scholars show that institutions help citizens with their political decisions. However, real-world contexts contain multiple institutions that are imposed together. Thus, I develop a theory and experimental test of the conditions under which combinations of two institutions induce citizens to trust a speaker’s statements and make better decisions than when only one institution is present. The theoretical model demonstrates that a second institution typically should not alter a speaker’s propensity to make truthful statements, nor subjects’ decisions to trust those statements. The experimental results reveal important departures from such rational behavior. Specifically, a second institution makes subjects more willing to trust the already mostly truthful statements they receive, which enables them to make better decisions than when only one institution is imposed upon the speaker. These findings suggest lessons about the conditions under which institutions can increase trust and improve decision making in political, legal, and economic contexts.

Suggested Citation

  • Cheryl Boudreau, 2012. "Greater than the sum of their parts? When combinations of institutions improve citizens’ decisions," Journal of Theoretical Politics, , vol. 24(1), pages 90-109, January.
  • Handle: RePEc:sae:jothpo:v:24:y:2012:i:1:p:90-109
    DOI: 10.1177/0951629811423234
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/0951629811423234
    Download Restriction: no

    File URL: https://libkey.io/10.1177/0951629811423234?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Guarnaschelli, Serena & McKelvey, Richard D. & Palfrey, Thomas R., 2000. "An Experimental Study of Jury Decision Rules," American Political Science Review, Cambridge University Press, vol. 94(2), pages 407-423, June.
    2. Morton, Rebecca B. & Williams, Kenneth C., 1999. "Information Asymmetries and Simultaneous versus Sequential Voting," American Political Science Review, Cambridge University Press, vol. 93(1), pages 51-67, March.
    3. Tomz, Michael & Wittenberg, Jason & King, Gary, 2003. "Clarify: Software for Interpreting and Presenting Statistical Results," Journal of Statistical Software, Foundation for Open Access Statistics, vol. 8(i01).
    4. C.Mónica Capra & Tomomi Tanaka & ColinF. Camerer & Lauren Feiler & Veronica Sovero & CharlesN. Noussair, 2009. "The Impact of Simple Institutions in Experimental Economies with Poverty Traps," Economic Journal, Royal Economic Society, vol. 119(539), pages 977-1009, July.
    5. Daniel Kahneman & Amos Tversky, 2013. "Prospect Theory: An Analysis of Decision Under Risk," World Scientific Book Chapters, in: Leonard C MacLean & William T Ziemba (ed.), HANDBOOK OF THE FUNDAMENTALS OF FINANCIAL DECISION MAKING Part I, chapter 6, pages 99-127, World Scientific Publishing Co. Pte. Ltd..
    6. Lupia,Arthur & McCubbins,Mathew D., 1998. "The Democratic Dilemma," Cambridge Books, Cambridge University Press, number 9780521585934.
    7. Bohnet, Iris & Frey, Bruno S. & Huck, Steffen, 2001. "More Order with Less Law: On Contract Enforcement, Trust, and Crowding," American Political Science Review, Cambridge University Press, vol. 95(1), pages 131-144, March.
    8. Druckman, James N, 2001. "Using Credible Advice to Overcome Framing Effects," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 17(1), pages 62-82, April.
    9. Lupia,Arthur & McCubbins,Mathew D., 1998. "The Democratic Dilemma," Cambridge Books, Cambridge University Press, number 9780521584487.
    10. Uri Gneezy, 2005. "Deception: The Role of Consequences," American Economic Review, American Economic Association, vol. 95(1), pages 384-394, March.
    11. Ostrom, Elinor & Walker, James & Gardner, Roy, 1992. "Covenants with and without a Sword: Self-Governance Is Possible," American Political Science Review, Cambridge University Press, vol. 86(2), pages 404-417, June.
    12. Anthony Downs, 1957. "An Economic Theory of Political Action in a Democracy," Journal of Political Economy, University of Chicago Press, vol. 65, pages 135-135.
    13. Crawford, Vincent P & Sobel, Joel, 1982. "Strategic Information Transmission," Econometrica, Econometric Society, vol. 50(6), pages 1431-1451, November.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Schnellenbach, Jan & Schubert, Christian, 2015. "Behavioral political economy: A survey," European Journal of Political Economy, Elsevier, vol. 40(PB), pages 395-417.
    2. William Minozzi & Jonathan Woon, 2013. "Lying aversion, lobbying, and context in a strategic communication experiment," Journal of Theoretical Politics, , vol. 25(3), pages 309-337, July.
    3. Friedrich Heinemann & Michael Förg & Eva Jonas & Eva Traut‐Mattausch, 2008. "Psychologische Restriktionen wirtschaftspolitischer Reformen," Perspektiven der Wirtschaftspolitik, Verein für Socialpolitik, vol. 9(4), pages 383-404, November.
    4. Minozzi, William & Woon, Jonathan, 2016. "Competition, preference uncertainty, and jamming: A strategic communication experiment," Games and Economic Behavior, Elsevier, vol. 96(C), pages 97-114.
    5. Cheryl Boudreau & Mathew D. McCubbins, 2008. "Nothing But the Truth? Experiments on Adversarial Competition, Expert Testimony, and Decision Making," Journal of Empirical Legal Studies, John Wiley & Sons, vol. 5(4), pages 751-789, December.
    6. Munger, Michael C., 2011. "Persuasion, psychology and public choice," Journal of Economic Behavior & Organization, Elsevier, vol. 80(2), pages 290-300.
    7. Woon, Jonathan & Kanthak, Kristin, 2019. "Elections, ability, and candidate honesty," Journal of Economic Behavior & Organization, Elsevier, vol. 157(C), pages 735-753.
    8. James Tilley & Christopher Wlezien, 2008. "Does Political Information Matter? An Experimental Test Relating to Party Positions on Europe," Political Studies, Political Studies Association, vol. 56(1), pages 192-214, March.
    9. Dannenberg,Astrid & Martinsson,Peter, 2015. "The effect of nonbinding agreements on cooperation among forest user groups in Nepal and Ethiopia," Policy Research Working Paper Series 7325, The World Bank.
    10. Richard Carson & Nicholas Flores & Norman Meade, 2001. "Contingent Valuation: Controversies and Evidence," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 19(2), pages 173-210, June.
    11. Baum, Matt, 2000. "A Paradox of Public Opinion: Why a Less Interested Public is More Attentive to War," Institute for Social Science Research, Working Paper Series qt7200v97q, Institute for Social Science Research, UCLA.
    12. López-Pérez, Raúl, 2009. "The Power of Words: Why Communication fosters Cooperation and Efficiency," Working Papers in Economic Theory 2009/01, Universidad Autónoma de Madrid (Spain), Department of Economic Analysis (Economic Theory and Economic History).
    13. Swank Otto H., 2000. "Seeking information: the role of information providers in the policy decision process," Public Economics 0004004, University Library of Munich, Germany.
    14. Grolleau, Gilles & Kocher, Martin G. & Sutan, Angela, 2014. "Cheating and loss aversion: do people lie more to avoid a loss?," Discussion Papers in Economics 21387, University of Munich, Department of Economics.
    15. Piketty, Thomas, 1999. "The information-aggregation approach to political institutions," European Economic Review, Elsevier, vol. 43(4-6), pages 791-800, April.
    16. Sean Duffy & Tyson Hartwig & John Smith, 2014. "Costly and discrete communication: an experimental investigation," Theory and Decision, Springer, vol. 76(3), pages 395-417, March.
    17. Gilles Grolleau & Martin G. Kocher & Angela Sutan, 2016. "Cheating and Loss Aversion: Do People Cheat More to Avoid a Loss?," Management Science, INFORMS, vol. 62(12), pages 3428-3438, December.
    18. Brad R. Taylor, 2020. "The psychological foundations of rational ignorance: biased heuristics and decision costs," Constitutional Political Economy, Springer, vol. 31(1), pages 70-88, March.
    19. Robert C. Bird & Vivek Soundararajan, 2020. "The Role of Precontractual Signals in Creating Sustainable Global Supply Chains," Journal of Business Ethics, Springer, vol. 164(1), pages 81-94, June.
    20. Valentino Larcinese, 2009. "Information Acquisition, Ideology and Turnout: Theory and Evidence From Britain," Journal of Theoretical Politics, , vol. 21(2), pages 237-276, April.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:jothpo:v:24:y:2012:i:1:p:90-109. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.