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A stranger in a strange land: Promises and identity

Author

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  • Gary Charness
  • Giovanni Di Bartolomeo
  • Stefano Papa

Abstract

This study investigates how communication and promises interact with social identity and in-group favoritism. Using a laboratory experiment based on a random dictator game with pre-play communication, group membership, and a partner-switching mechanism, the paper examines whether communication can improve trust and cooperation between out-group members. The results show that communication increases cooperation but does not by itself eliminate the social identity gap. However, mutual promises are more effective for out-groups than for in-groups, reducing or eliminating in-group favoritism. The study also finds evidence that decisions are driven by different motivations across groups: expectation-based motivations in the case of in-groups and moral commitment in the case of out-groups.

Suggested Citation

  • Gary Charness & Giovanni Di Bartolomeo & Stefano Papa, 2023. "A stranger in a strange land: Promises and identity," CIMEO Working Paper Series 166, Centre for Investigation and Modelling of Experimental Observations (CIMEO).
  • Handle: RePEc:ter:wpaper:00166
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    JEL classification:

    • A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • D90 - Microeconomics - - Micro-Based Behavioral Economics - - - General

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