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The effect of priming on fraud: Evidence from a natural field experiment

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  • Parampreet Christopher Bindra
  • Graeme Pearce

Abstract

We present a natural field experiment to examine if priming can influence behavior in a market for credence goods. 40 testers took 600 taxi journeys in Vienna, Austria, and using a between–subject design we vary the script they spoke, each designed to prime either honesty, dishonesty, or a competitor. We find that the honesty prime increases taxi fares by 5.5% relative to a baseline, the result of overcharging rather than overtreatment. Priming dishonesty and a competitor have no impact on fares. We find that the effects of priming on behavior are likely to be small compared to information asymmetries.

Suggested Citation

  • Parampreet Christopher Bindra & Graeme Pearce, 2022. "The effect of priming on fraud: Evidence from a natural field experiment," Economic Inquiry, Western Economic Association International, vol. 60(4), pages 1854-1874, October.
    • Handle: RePEc:bla:ecinqu:v:60:y:2022:i:4:p:1854-1874
    DOI: 10.1111/ecin.13088
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    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments

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