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Sharing Guilt: How Better Access to Information May Backfire

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  • Roman Inderst
  • Kiryl Khalmetski
  • Axel Ockenfels

Abstract

We provide laboratory evidence that the attribution of guilt for disappointed trust is shared between the players whose choices eventually contributed to this disappointment (including the disappointed player herself). We refer to this as "shared guilt" and present a model that captures the phenomenon, and which is consistent with various previous findings. We also discuss potential policy implications.

Suggested Citation

  • Roman Inderst & Kiryl Khalmetski & Axel Ockenfels, 2017. "Sharing Guilt: How Better Access to Information May Backfire," Working Paper Series in Economics 90, University of Cologne, Department of Economics.
    • Handle: RePEc:kls:series:0090
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    8. Lucas C. Coffman & Alexander Gotthard-Real, 2019. "Moral Perceptions of Advised Actions," Management Science, INFORMS, vol. 65(8), pages 3904-3927, August.
    9. Dhami, Sanjit & Wei, Mengxing & al-Nowaihi, Ali, 2023. "Classical and belief-based gift exchange models: Theory and evidence," Games and Economic Behavior, Elsevier, vol. 138(C), pages 171-196.
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    More about this item

    Keywords

    Shared guilt; trust; guilt aversion; responsibility diffusion; financial advice;
    All these keywords.

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness

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