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Is Trust Self-Fulfilling? An Experimental Study

Author

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  • Michael Bacharach
  • Gerardo A. Guerra

Abstract

A person is said to be `trust responsive` if she fulfils trust because she believes the truster trusts her. The experiment we report was designed to test for trust responsiveness and its robustness across payoff structures, and to disentangle it from other possible factors making for trustworthiness, including perceived kindness, perceived need, and inequality aversion. We elicit the truster`s confidence that the trustee will fulfil, and the trustee`s belief about the truster`s confidence after the trustee receives evidence relevant to this. We find evidence of strong trust responsiveness. We also find that perceptions of kindness and of need increase trust responsiveness, and that perceptions of kindness and need raise fulfilling rates only in conjunction with trust responsiveness.

Suggested Citation

  • Michael Bacharach & Gerardo A. Guerra, 2001. "Is Trust Self-Fulfilling? An Experimental Study," Economics Series Working Papers 76, University of Oxford, Department of Economics.
  • Handle: RePEc:oxf:wpaper:76
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    File URL: http://www.economics.ox.ac.uk/materials/working_papers/paper076.pdf
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    Cited by:

    1. Morgenstern, Albrecht, 2004. "Efficiency concerns and incentive provision--an experimental study," Economics Letters, Elsevier, vol. 83(3), pages 335-341, June.
    2. Alessandro Innocenti & Maria Grazia Pazienza, 2006. "Altruism and Gender in the Trust Game," Labsi Experimental Economics Laboratory University of Siena 005, University of Siena.
    3. Pelligra, Vittorio, 2006. "Trust, Reciprocity and Institutional Design: Lessons from Behavioural Economics," AICCON Working Papers 37-2006, Associazione Italiana per la Cultura della Cooperazione e del Non Profit.
    4. Alessandro Innocenti & Maria Grazia Pazienza, 2004. "Experimenter bias across gender differences," Department of Economics University of Siena 438, Department of Economics, University of Siena.
    5. Gary Charness & Martin Dufwenberg, 2006. "Promises and Partnership," Econometrica, Econometric Society, vol. 74(6), pages 1579-1601, November.
    6. repec:eee:jeborg:v:142:y:2017:i:c:p:320-330 is not listed on IDEAS
    7. Charness, Gary & Dufwenberg, Martin, 2003. "Promises & Partnership," Research Papers in Economics 2003:3, Stockholm University, Department of Economics.
    8. Brian S. Collins & Robin Mansell, 2004. "Cyber trust and crime prevention: a synthesis of the state-of-the-art science reviews," LSE Research Online Documents on Economics 4252, London School of Economics and Political Science, LSE Library.
    9. Farina, Francesco & O'Higgins, Niall & Sbriglia, Patrizia, 2009. "Suit the action to the word, the word to the action: Eliciting motives for trust and reciprocity by attitudinal and behavioural measures," Research in Economics, Elsevier, vol. 63(4), pages 253-265, December.

    More about this item

    Keywords

    trust game; experiment; trust responsiveness; kindness; need to trust; belief elicitation;

    JEL classification:

    • C79 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Other
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • D84 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Expectations; Speculations

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