2019 - Reprints: Organizational Behavior and Human Resources

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The bad consequences of teamwork, Economics Letters, 160, 12-15, 2017
I. Soraperra, O. Weisel, R. Zultan, S. Kochavi, M. Leib, H. Shalev and S. Shalvi
(Reprint no. 355)
Research no.: 00570100
 

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People are rather dishonest when working on collaborative tasks. We experimentally study whether this is driven by the collaborative situation or by mere exposure to dishonest norms. In the collaborative treatment, two participants in a pair receive a payoff (equal to the reported outcome) only if both report the same die-roll outcome. In the norm exposure treatment, participants receive the same information regarding their partner’s action as in the collaborative treatment, but receive payoffs based only on their own reports. We find that average dishonesty is similarly high with and without collaboration, but the frequency of dyads in which both players are honest is lower in collaboration than in the norm exposure setting.

Internal conflict, market uniformity, and transparency in price competition between teams, Journal of Economic Behavior & Organization, 144, 121-132, 2017
M. Kurschilgen, A. Morell and O. Weisel
(Reprint no. 356)
Research no.: 00580100

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The way profits are divided within successful teams imposes different degrees of internal conflict. We experimentally examine how the level of internal conflict, and whether such conflict is transparent to other teams, affects teams’ ability to compete vis-à-vis each other, and, consequently, market outcomes. Participants took part in a repeated Bertrand duopoly game between three-player teams which had either the same or different levels of internal conflict (uniform vs. mixed). Profit division was either private-pay (high conflict; each member received her own asking price) or equal-pay (low conflict; profits were divided equally). We find that internal conflict leads to (tacit) coordination on high prices in uniform private-pay duopolies, but places private-pay teams at a competitive disadvantage in mixed duopolies. Competition is softened by transparency in uniform markets, but intensified in mixed markets. We propose an explanation of the results and discuss implications for managers and policy makers.

Dispositional free riders do not free ride on punishment, Nature Communications, 9, 2390, 2018
https://doi.org/10.1038/s41467-018-04775-8
T. O. Weber, O. Weisel and S. Gächter
(Reprint no. 357)
Research no.: 00590100

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Strong reciprocity explains prosocial cooperation by the presence of individuals who incur costs to help those who helped them (‘strong positive reciprocity’) and to punish those who wronged them (‘strong negative reciprocity’). Theories of social preferences predict that in contrast to ‘strong reciprocators’, self-regarding people cooperate and punish only if there are sufficient future benefits. Here, we test this prediction in a two-stage design. First, participants are classified according to their disposition towards strong positive reciprocity as either dispositional conditional cooperators (DCC) or dispositional free riders (DFR). Participants then play a one-shot public goods game, either with or without punishment. As expected, DFR cooperate only when punishment is possible, whereas DCC cooperate without punishment. Surprisingly, dispositions towards strong positive reciprocity are unrelated to strong negative reciprocity: punishment by DCC and DFR is practically identical. The ‘burden of cooperation’ is thus carried by a larger set of individuals than previously assumed.

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