IDEAS home Printed from https://ideas.repec.org/p/mar/magkse/201236.html
   My bibliography  Save this paper

The Importance of Knowing Your Own Reputation

Author

Listed:
  • Matthias Greiff

    (University of Giessen)

  • Fabian Paetzel

    (University of Bremen)

Abstract

We experimentally investigate a ?nitely repeated public good game with varying partners. Within each period, participants are pairwise matched and contribute simultaneously. Participants are informed about contributions and each participant evaluates her partner’s contribution. At the beginning of the next period, participants are re-matched and, except for the two control treatments, receive information resulting from the previous period’s evaluations. There are three information treatments: Participants receive information either about their own evaluation or about their partner’s evaluation or both. Although participants condition their contributions on their partners’ evaluations, this information alone is insuf?cient to raise contributions. Only if participants also know their own evaluation, we do ?nd a signi?cant increase in contributions relative to the control treatments.

Suggested Citation

  • Matthias Greiff & Fabian Paetzel, 2012. "The Importance of Knowing Your Own Reputation," MAGKS Papers on Economics 201236, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    • Handle: RePEc:mar:magkse:201236
    as

    Download full text from publisher

    File URL: https://www.uni-marburg.de/en/fb02/research-groups/economics/macroeconomics/research/magks-joint-discussion-papers-in-economics/papers/2012-papers/36-2012_greiff.pdf
    File Function: First version, 2012
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Dan Ariely & Anat Bracha & Stephan Meier, 2009. "Doing Good or Doing Well? Image Motivation and Monetary Incentives in Behaving Prosocially," American Economic Review, American Economic Association, vol. 99(1), pages 544-555, March.
    2. Andreoni, James A & Miller, John H, 1993. "Rational Cooperation in the Finitely Repeated Prisoner's Dilemma: Experimental Evidence," Economic Journal, Royal Economic Society, vol. 103(418), pages 570-585, May.
    3. Martin Sefton & Robert Shupp & James M. Walker, 2007. "The Effect Of Rewards And Sanctions In Provision Of Public Goods," Economic Inquiry, Western Economic Association International, vol. 45(4), pages 671-690, October.
    4. Fischbacher, Urs & Gachter, Simon & Fehr, Ernst, 2001. "Are people conditionally cooperative? Evidence from a public goods experiment," Economics Letters, Elsevier, vol. 71(3), pages 397-404, June.
    5. Gary Bornstein & Tamar Kugler & Anthony Ziegelmeyer, 2002. "Individual and Group Decisions in the Centipede Game: Are Groups More “Rational” Players?," Discussion Paper Series dp298, The Federmann Center for the Study of Rationality, the Hebrew University, Jerusalem.
    6. Bochet, Olivier & Putterman, Louis, 2009. "Not just babble: Opening the black box of communication in a voluntary contribution experiment," European Economic Review, Elsevier, vol. 53(3), pages 309-326, April.
    7. David Masclet & Charles Noussair & Steven Tucker & Marie-Claire Villeval, 2003. "Monetary and Nonmonetary Punishment in the Voluntary Contributions Mechanism," American Economic Review, American Economic Association, vol. 93(1), pages 366-380, March.
    8. Bolton, Gary E. & Katok, Elena & Ockenfels, Axel, 2005. "Cooperation among strangers with limited information about reputation," Journal of Public Economics, Elsevier, vol. 89(8), pages 1457-1468, August.
    9. Urs Fischbacher, 2007. "z-Tree: Zurich toolbox for ready-made economic experiments," Experimental Economics, Springer;Economic Science Association, vol. 10(2), pages 171-178, June.
    10. Joseph Farrell & Matthew Rabin, 1996. "Cheap Talk," Journal of Economic Perspectives, American Economic Association, vol. 10(3), pages 103-118, Summer.
    11. Drew Fudenberg & Jean Tirole, 1991. "Game Theory," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262061414, December.
    12. Suits, Daniel B, 1984. "Dummy Variables: Mechanics v. Interpretation," The Review of Economics and Statistics, MIT Press, vol. 66(1), pages 177-180, February.
    13. Ben Greiner, 2004. "The Online Recruitment System ORSEE 2.0 - A Guide for the Organization of Experiments in Economics," Working Paper Series in Economics 10, University of Cologne, Department of Economics.
    14. Ben Greiner, 2004. "The Online Recruitment System ORSEE - A Guide for the Organization of Experiments in Economics," Papers on Strategic Interaction 2003-10, Max Planck Institute of Economics, Strategic Interaction Group.
    15. Ananish Chaudhuri, 2011. "Sustaining cooperation in laboratory public goods experiments: a selective survey of the literature," Experimental Economics, Springer;Economic Science Association, vol. 14(1), pages 47-83, March.
    16. Martin A. Nowak & Karl Sigmund, 1998. "Evolution of indirect reciprocity by image scoring," Nature, Nature, vol. 393(6685), pages 573-577, June.
    17. Matthias Greiff & Fabian Paetzel, 2012. "Reaching for the Stars: An Experimental Study of the Consumption Value of Social Approval," MAGKS Papers on Economics 201208, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    18. Michihiro Kandori, 1992. "Social Norms and Community Enforcement," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 59(1), pages 63-80.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Greiff, Matthias & Paetzel, Fabian, 2016. "Second-order beliefs in reputation systems with endogenous evaluations – an experimental study," Games and Economic Behavior, Elsevier, vol. 97(C), pages 32-43.
    2. Krieg, Justin & Samek, Anya, 2017. "When charities compete: A laboratory experiment with simultaneous public goods," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 66(C), pages 40-57.
    3. Agnès Festré & Pierre Garrouste & Ankinée Kirakozian & Mira Toumi, 2017. "The Pen Might Be Mightier than the Sword: How Third-party Advice or Sanction Impacts on Pro-environmental Behavior," GREDEG Working Papers 2017-15, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France, revised Aug 2017.
    4. Nikiforakis, Nikos & Noussair, Charles N. & Wilkening, Tom, 2012. "Normative conflict and feuds: The limits of self-enforcement," Journal of Public Economics, Elsevier, vol. 96(9-10), pages 797-807.
    5. Siegfried Berninghaus & Werner Güth & Stephan Schosser, 2013. "Reciprocity in Locating Contributions: Experiments on the Neighborhood Public Good Game," Games, MDPI, vol. 4(2), pages 1-19, April.
    6. Lachlan Deer & Ralph-C. Bayer, 2016. "Pledges of Commitment and Cooperation in Partnerships," Games, MDPI, vol. 7(1), pages 1-16, January.
    7. Kamei, Kenju, 2016. "Information Disclosure and Cooperation in a Finitely-repeated Dilemma: Experimental Evidence," MPRA Paper 75100, University Library of Munich, Germany.
    8. Urs Fischbacher & Simon Gaechter, 2008. "Heterogeneous Social Preferences And The Dynamics Of Free Riding In Public Good Experiments," Discussion Papers 2008-07, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham.
    9. Xiaochuan Huang & Takehito Masuda & Yoshitaka Okano & Tatsuyoshi Saijo, 2014. "Cooperation among behaviorally heterogeneous players in social dilemma with stay or leave decisions," Working Papers SDES-2014-7, Kochi University of Technology, School of Economics and Management, revised Feb 2015.
    10. Dirk Engelmann & Nikos Nikiforakis, 2015. "In the long-run we are all dead: on the benefits of peer punishment in rich environments," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 45(3), pages 561-577, October.
    11. Karakostas, Alexandros & Kocher, Martin G. & Matzat, Dominik & Rau, Holger A. & Riewe, Gerhard, 2023. "The team allocator game: Allocation power in public goods games," Games and Economic Behavior, Elsevier, vol. 140(C), pages 73-87.
    12. Nikiforakis, Nikos, 2010. "Feedback, punishment and cooperation in public good experiments," Games and Economic Behavior, Elsevier, vol. 68(2), pages 689-702, March.
    13. Kamei, Kenju, 2020. "Voluntary disclosure of information and cooperation in simultaneous-move economic interactions," Journal of Economic Behavior & Organization, Elsevier, vol. 171(C), pages 234-246.
    14. Bernd Irlenbusch & Janna Ter Meer, 2015. "Lying in public good games with and without punishment," Cologne Graduate School Working Paper Series 06-02, Cologne Graduate School in Management, Economics and Social Sciences.
    15. Urs Fischbacher & Simon Gachter, 2010. "Social Preferences, Beliefs, and the Dynamics of Free Riding in Public Goods Experiments," American Economic Review, American Economic Association, vol. 100(1), pages 541-556, March.
    16. Luigi Butera & Philip Grossman & Daniel Houser & John List & Marie-Claire Villeval, 2020. "A New Mechanism to Alleviate the Crises of Confidence in Science - With an Application to the Public Goods Game," Artefactual Field Experiments 00684, The Field Experiments Website.
    17. Anya Savikhin Samek & Roman Sheremeta, 2014. "Recognizing contributors: an experiment on public goods," Experimental Economics, Springer;Economic Science Association, vol. 17(4), pages 673-690, December.
    18. Bazart, Cécile & Lefebvre, Mathieu & Rosaz, Julie, 2022. "Promoting socially desirable behaviors through persuasion and commitment: Experimental evidence," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 101(C).
    19. Urs Fischbacher & Simon Gachter, 2010. "Social Preferences, Beliefs, and the Dynamics of Free Riding in Public Goods Experiments," American Economic Review, American Economic Association, vol. 100(1), pages 541-556, March.
    20. Felix Koelle, 2012. "Heterogeneity and Cooperation in Privileged Groups: The Role of Capability and Valuation on Public Goods Provision," Cologne Graduate School Working Paper Series 03-08, Cologne Graduate School in Management, Economics and Social Sciences.

    More about this item

    Keywords

    Conditional Cooperation; Evaluation; Public Good Games; Prisoner’s Dilemma; Repeated games with varying partners; Reputation; Second-order beliefs.;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mar:magkse:201236. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Bernd Hayo (email available below). General contact details of provider: https://edirc.repec.org/data/vamarde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.