Universität zu Köln

Schwerter, Frederik and Zimmermann, Florian (2020). Determinants of trust: The role of personal experiences. Games Econ. Behav., 122. S. 413 - 426. SAN DIEGO: ACADEMIC PRESS INC ELSEVIER SCIENCE. ISSN 1090-2473

Full text not available from this repository.

Abstract

Social interactions pervade daily life and thereby create an abundance of social experiences. Such personal experiences likely shape what we believe and who we are. In this paper, we ask if and how personal experiences from social interactions determine individuals' inclination to trust others? In a laboratory experiment, we manipulate social experiences prior to measuring participants' willingness to trust others. We contrast this situation with a non-social control condition where we keep all aspects of the prior experiences identical, except that we remove the social dimension. Subjects' willingness to trust is substantially higher after a positive social experience relative to a negative social experience. No such effect is obtained in the non-social control condition. Our results cannot be explained by rational learning as well as income and reference point effects. Delving into the underlying mechanisms, we provide evidence that non-standard belief patterns are an important driver of experience effects. (C) 2020 Elsevier Inc. All rights reserved.

Item Type:	Journal Article
Creators:	Creators Email ORCID ORCID Put Code Schwerter, Frederik UNSPECIFIED UNSPECIFIED UNSPECIFIED Zimmermann, Florian UNSPECIFIED UNSPECIFIED UNSPECIFIED
URN:	urn:nbn:de:hbz:38-328249
DOI:	10.1016/j.geb.2020.05.002
Journal or Publication Title:	Games Econ. Behav.
Volume:	122
Page Range:	S. 413 - 426
Date:	2020
Publisher:	ACADEMIC PRESS INC ELSEVIER SCIENCE
Place of Publication:	SAN DIEGO
ISSN:	1090-2473
Language:	English
Faculty:	Unspecified
Divisions:	Unspecified
Subjects:	no entry
Uncontrolled Keywords:	Keywords Language RECIPROCITY; RISK; GAME; TRUSTWORTHINESS; BELIEFS Multiple languages Economics Multiple languages
URI:	http://kups.ub.uni-koeln.de/id/eprint/32824