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Reporting Sexual Misconduct in the #MeToo Era

Author

Listed:
  • Ing-Haw Cheng

    (Dartmouth College)

  • Alice Hsiaw

    (Brandeis University)

Abstract

What deters individuals from reporting sexual misconduct, and what are the effects of #MeToo for reporting? We show that individuals under-report sexual misconduct if and only if a manager's misconduct is widespread. The reason is that individuals face a coordination problem and strategic uncertainty over whether others will also report misconduct. The coordination problem occurs because reports from multiple individuals corroborate a pattern of behavior and mitigate the chances of retaliation. We then study three unintended and intended consequences of #MeToo. First, managers may avoid mentoring individuals due to possible reporting. This selection effect spills over into individuals' willingness to report and can reduce the effectiveness of policies intended to encourage reporting. Second, heightened public awareness of misconduct encourages individuals to report otherwise-hidden misconduct by coordinating beliefs. Finally, whistleblower rewards mitigate this coordination problem when appropriately calibrated.

Suggested Citation

  • Ing-Haw Cheng & Alice Hsiaw, 2020. "Reporting Sexual Misconduct in the #MeToo Era," Working Papers 129, Brandeis University, Department of Economics and International Business School.
    • Handle: RePEc:brd:wpaper:129
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    File URL: http://www.brandeis.edu/economics/RePEc/brd/doc/Brandeis_WP129.pdf
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    References listed on IDEAS

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    Cited by:

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    2. Gordon B. Dahl & Matthew M. Knepper, 2021. "Why is Workplace Sexual Harassment Underreported? The Value of Outside Options Amid the Threat of Retaliation," NBER Working Papers 29248, National Bureau of Economic Research, Inc.
    3. Harry Pei & Bruno Strulovici, 2020. "Crime Aggregation, Deterrence, and Witness Credibility," Papers 2009.06470, arXiv.org.
    4. Charles Angelucci & Antonio Russo, 2022. "Petty Corruption And Citizen Reports," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 63(2), pages 831-848, May.
    5. Colagrossi, Marco & Deiana, Claudio & Dragone, Davide & Geraci, Andrea & Giua, Ludovica & Iori, Elisa, 2023. "Intimate partner violence and help-seeking: The role of femicide news," Journal of Health Economics, Elsevier, vol. 87(C).
    6. Laura Boudreau & Sylvain Chassang & Ada González-Torre & Rachel Heath, 2023. "Monitoring Harassment in Organizations," Working Papers 2022-19, Princeton University. Economics Department..
    7. Ratul Das Chaudhury & Birendra Rai & Liang Choon Wang & Dyuti Banerjee, 2021. "Welfare v. Consent: On the Optimal Penalty for Harassment," Papers 2103.00734, arXiv.org, revised Apr 2023.

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    More about this item

    Keywords

    Misconduct; Reporting; Retaliation; Coordination;
    All these keywords.

    JEL classification:

    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • K13 - Law and Economics - - Basic Areas of Law - - - Tort Law and Product Liability; Forensic Economics
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • M54 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Labor Management

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