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A Portfolio of Dilemmas: Experimental Evidence on Choice Bracketing in a Mini-Trust Game

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  • Jieyao Ding

    (Max Planck Institute for Research on Collective Goods, Bonn)

Abstract

Bracketing is a mental procedure about how people deal with multiple tasks. If a decision maker handles all the tasks at the same time, it is called broad bracketing. If she handles the tasks separately, e.g., one or a few tasks each time, it is called narrow bracketing. This paper experimentally investigates the effect of broad versus narrow bracketing in the context of a mini-trust game. The result shows that, in the narrow bracketing treatment, the investor (first mover) is more likely to place trust on others, but the receiver (second mover) is less likely to fulfill the trust under the same condition. The effect is partly conditional on beliefs in others' behavior.

Suggested Citation

  • Jieyao Ding, 2012. "A Portfolio of Dilemmas: Experimental Evidence on Choice Bracketing in a Mini-Trust Game," Discussion Paper Series of the Max Planck Institute for Research on Collective Goods 2012_06, Max Planck Institute for Research on Collective Goods.
  • Handle: RePEc:mpg:wpaper:2012_06
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    References listed on IDEAS

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    Cited by:

    1. Stracke, Rudi & Kerschbamer, Rudolf & Sunde, Uwe, 2015. "Prevalence and Determinants of Choice Bracketing - Experimental Evidence," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 113092, Verein für Socialpolitik / German Economic Association.

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    More about this item

    Keywords

    meta-study; self-control; general theory of crime;
    All these keywords.

    JEL classification:

    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • K14 - Law and Economics - - Basic Areas of Law - - - Criminal Law
    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General

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