Honesty in the city

Dufwenberg, Martin and Feldman, Paul and Servátka, Maroš and Tarrasó, Jorge and Vadovič, Radovan (2022): Honesty in the city.

Abstract

Lab evidence on trust games involves more cooperation than conventional economic theory predicts. We explore whether this pattern extends to a field setting where we are able to control for (lack of) repeat-play and reputation: the taxi market in Mexico City. We find a remarkably high degree of trustworthiness, even with price-haggling which was predicted to reduce trustworthiness.

• Item Type: MPRA Paper
• Language: English
• Keywords: trustworthiness; honesty; reciprocity; field experiment; haggling; taxis; Mexico City
• Subjects: C - Mathematical and Quantitative Methods > C7 - Game Theory and Bargaining Theory > C72 - Noncooperative Games; C - Mathematical and Quantitative Methods > C9 - Design of Experiments > C90 - General; C - Mathematical and Quantitative Methods > C9 - Design of Experiments > C93 - Field Experiments

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