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Using a standard trust game, we elicit trust and reciprocity measures in a representative sample of adult players in … other Latin American countries. We find no statistically significant differences in trust levels of Uruguayans towards …
Persistent link: https://www.econbiz.de/10012628842
We develop a model of relational contracts with moral hazard and asymmetric persistent information about an employee's type. We find that the form of the optimal contract depends on the job characteristics as well as the distribution of employees' talent. Bonus contracts are more likely to be...
Persistent link: https://www.econbiz.de/10010382180
Joint liability loans are used in various settings, including business partnerships, agricultural cooperatives, and real estate investment. Most notably, they have been central to the microfinance model since the 1970s. Despite early promises, recent evidence suggests that joint liability has...
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neighbors in the social network, can exert effort to manipulate the trust of others, and update their opinions about some common …. We show that manipulation can modify the trust structure and lead to a connected society. Manipulation fosters opinion …
Persistent link: https://www.econbiz.de/10010357991
Existing studies of trust formation in U.S. metropolitan areas have found that trust is lower when there is more income … groups (racial income inequality). I find that greater racial income inequality reduces trust. Also, racial fragmentation is … no longer a significant determinant of trust once racial income inequality is accounted for. I also show that racial …
Persistent link: https://www.econbiz.de/10010472550
their trust in the government more than those who received a "negative" treatment (showing that the government was under …-performing). The evidence highlights that the channel between transparency and trust may be mediated by the performance of the …
Persistent link: https://www.econbiz.de/10011992104
network that connects them. We find that information supports cooperation by increasing trust between players, and obtain the … 'radius of trust': an endogenous network listing the potentially cooperative relationships between pairs of players in a … community. We identify two aspects of trust, which relate to the network structure in different ways. Where trust depends on the …
Persistent link: https://www.econbiz.de/10011773641