The limit to behavioral inertia and the power of default in voluntary contribution games

It is well documented that people are reluctant to switch from a default option. We experimentally test the robustness of this behavioral inertia in a collective decision-making setting by varying the default option type and the decision-making environment. We examine the impacts of automatic-participation and no-participation default options on subjects’ participation in a public goods provision and their contributions. Two variants of public goods game are employed: the linear and the threshold public goods games. The study shows the evidence of partial stickiness rather than complete stickiness of default options as indicated in empirical studies. Our experimental results square with the evidence of behavioral inertia only when the automatic-participation default is used. This default boosts contributions in the linear public goods game but not in the threshold public goods game. The evidence of partial stickiness is robust to the variation of the game employed, but the effect on contribution is sensitive to it

Business Ethics: The Promise of Neuroscience

Recent advances in cognitive neuroscience research portend well for furthering understanding of many of the fundamental questions in the field of business ethics, both normative and empirical. This article provides an overview of neuroscience methodology and brain structures, and explores the areas in which neuroscience research has contributed findings of value to business ethics, as well as suggesting areas for future research. Neuroscience research is especially capable of providing insight into individual reactions to ethical issues, while also raising challenging normative questions about the nature of moral responsibility, autonomy, intent, and free will. This article also provides a brief summary of the papers included in this special issue, attesting to the richness of scholarly inquiry linking neuroscience and business ethics. We conclude that neuroscience offers considerable promise to the field of business ethics, but we caution against overpromise

Increasing altruistic and cooperative behaviour with simple moral nudges

The conflict between pro-self and pro-social behaviour is at the core of many key problems of our time, as, for example, the reduction of air pollution and the redistribution of scarce resources. For the well-being of our societies, it is thus crucial to find mechanisms to promote pro-social choices over egoistic ones. Particularly important, because cheap and easy to implement, are those mechanisms that can change people's behaviour without forbidding any options or significantly changing their economic incentives, the so-called "nudges". Previous research has found that moral nudges (e.g., making norms salient) can promote pro-social behaviour. However, little is known about whether their effect persists over time and spills across context. This question is key in light of research showing that pro-social actions are often followed by selfish actions, thus suggesting that some moral manipulations may backfire. Here we present a class of simple moral nudges that have a great positive impact on pro-sociality. In Studies 1-4 (total N = 1,400), we use economic games to demonstrate that asking subjects to self-report "what they think is the morally right thing to do" does not only increase pro-sociality in the choice immediately after, but also in subsequent choices, and even when the social context changes. In Study 5, we explore whether moral nudges promote charity donations to humanitarian organisations in a large (N = 1,800) crowdfunding campaign. We find that, in this context, moral nudges increase donations by about 44 percent

The Minority Game Unpacked: Coordination and Competition in a Team-based Experiment

We conduct an experiment on a minority-of-three game in which each player is a team composed of three subjects. Each team can freely discuss its strategies in the game and decisions must be made via majority rule. Team discussions are recorded and their content analyzed to detect evidence of strategy co-evolution among teams playing together. Our main results show no evidence supporting the mixed strategy Nash equilibrium solution, and provide evidence more consistent with reinforcement learning models than with belief-based models. Exhibiting level-2 rationality (i.e., reasoning about others’ beliefs) is positively and significantly correlated with higher than average earnings in the game. In addition, teams that are more successful tend to become more self-centered over time, paying more attention to their own past successes than to the behavior of other teams. Finally, we find evidence of mutual adaptation over time, as teams that are more strategic induce competing teams to be more self-centered instead. Our results contribute to the understanding of coordination dynamics resting on heterogeneity and co-evolution of decision rules. In addition, they provide support at the decision process level to the validity of modeling behavior using reinforcement learning models

An investigation of children's strategies for overcoming the tragedy of the commons

Common-pool resource (CPR) dilemmas are pervasive challenges to overcome. We presented six-year-old children with an experimental CPR paradigm involving a renewable water resource, which children could collect to win individual rewards. To maximize water collection, children had to wait for water to accumulate, without collapsing the resource. We explore the social strategies children used to overcome the dilemma together. Like adults, six-year-old children were challenged by the dilemma: resource sustaining was more successful in a parallel condition in which children worked independently compared with the collective CPR condition. However, children were capable of collectively preventing resource collapse by spontaneously generating inclusive rules, equally distributing the rewards and distracting one another from the delay-of-gratification task. Children also learned to sustain the resource longer in repeated interactions with the same partner. Already by the age of six, children are capable of CPR social strategies resembling those of adults