Working paper
Crowding out trust: the adverse effects of verification. An experiment
- Abstract:
- Through an experiment this study investigates the effects that verification has on honest traders. This paper demonstrates that by reducing the scope for trust verification can have a negative effect on the behaviour of honest individuals. Specifically, the analysis shows that trustworthy agents are willing to punish or seek compensation from those that deprive them of trust opportunities through the use of verification. Regulatory implications are discussed.
- Publication status:
- Published
Actions
Authors
- Publisher:
- University of Oxford
- Series:
- Department of Economics Discussion Paper Series
- Publication date:
- 2002-03-01
- Paper number:
- 98
- Keywords:
- Pubs id:
-
1144327
- Local pid:
-
pubs:1144327
- Deposit date:
-
2020-12-15
Terms of use
- Copyright date:
- 2002
- Rights statement:
- Copyright 2002 The Author(s)
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