We investigate the effect of a donation incentive tied to contributions to a public good when group members can decide on the size of the donation to be made. An up to 20 % donation of the public good was implemented either exogenously or endogenously by group members. In the Vote treatment,...

This note reports a replication study of Falk and Kosfeld's (2006) medium control treatment. In the experimental game, an agent has an endowment of 120 experimental currency units and decides how much to transfer to a principal. For every unit that the agent gives up, the principal receives two...

Numerous gift exchange experiments have found a positive relationship between employers' wage offers and workers' effort levels. In (almost) all these experiments the employer both owns and controls the firm. Yet in reality many firms are characterized by the separation of ownership and control....

We consider repeated trust game experiments to study the interplay between explicit and relational incentives. After having gained experience with two payoff variations of the trust game, subjects in the final part explicitly choose which of these two variants to play. Theory predicts that...