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It’s Time to Cheat!

Author

Listed:
  • Alessandro Bucciol

    (Department of Economics (University of Verona))

  • Simona Cicognani

    (Department of Economics (University of Verona))

  • Natalia Montinari

    (University of Bologna)

Abstract

We run a lab experiment testing the correlation between time preferences and cheating at the individual level, controlling for individuals' risk attitude. In our experiment cheating only entails a moral cost for the decision maker, while it imposes no externalities on others, and it is not associated to the risk of being detected and sanctioned. Our hypothesis is that cheating is higher among individuals who attribute more importance to the present. Our experiment also allows to record socio-demographic details and information on cognitive abilities of participants. We observe widespread cheating, and statistical evidence that cheating prevails among subjects who display present bias and over-confidence. Cheating also turns out to be negatively correlated with risk aversion and the discount factor, but only for men, while the impact of present bias seems to be stronger for women.

Suggested Citation

  • Alessandro Bucciol & Simona Cicognani & Natalia Montinari, 2019. "It’s Time to Cheat!," Working Papers 06/2019, University of Verona, Department of Economics.
  • Handle: RePEc:ver:wpaper:06/2019
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    More about this item

    Keywords

    Cheating; Time Discounting; Quasi-hyperbolic preferences;
    All these keywords.

    JEL classification:

    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty

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