Related papers: Motives for Delegating Financial Decisions
We study vote delegation with "well-behaving" and "misbehaving" agents and compare it with conventional voting. Typical examples for vote delegation are validation or governance tasks on blockchains. There is a majority of well-behaving…
We study voluntary disclosure with multiple biased senders who may bear costs for disclosing or concealing their private information. Under relevant assumptions, disclosures are strategic substitutes under a disclosure cost but complements…
We examine how career concerns influence the behavior and mobility of financial advisers. Drawing on a uniquely comprehensive matched panel that combines employer-employee data with a longstanding national ranking, our study tests…
This paper studies lying in a novel context. Previous work has focused on situations in which people are either fully aware of the economic consequences of all available actions (e.g., die-under-cup paradigm), or they are uncertain, but…
How do incentive levels affect strategic behaviour? We address this with an experiment that separately identifies own- and opponent-incentive effects in two dominance-solvable games that differ in strategic complexity. Higher own incentives…
Seed fundraising for ventures often takes place by sequentially approaching potential contributors, who make observable decisions. The fundraising succeeds when a target number of investments is reached. Though resembling classic…
We discuss the objectives of automation equipped with non-trivial decision making, or creating artificial intelligence, in the financial markets and provide a possible alternative. Intelligence might be an unintended consequence of…
As large language models (LLMs) evolve from single-user assistants to active participants in civic and workplace deliberation, evaluating their effects on collective decision making becomes a governance challenge. We present two empirical…
Prior research demonstrates that performance of language models on reasoning tasks can be influenced by suggestions, hints and endorsements. However, the influence of endorsement source credibility remains underexplored. We investigate…
Many experimental studies report that economics students tend to act more selfishly than students of other disciplines, a finding that received widespread public and professional attention. Two main explanations that the existing literature…
As AI systems enter institutional workflows, workers must decide whether to delegate task execution to AI and how much effort to invest in verifying AI outputs, while institutions evaluate workers using outcome-based standards that may…
I study the optimal design of ratings to motivate agent investment in quality when transfers are unavailable. The principal designs a rating scheme that maps the agent's quality to a (possibly stochastic) score. The agent has private…
In a delegation problem, a principal P with commitment power tries to pick one out of $n$ options. Each option is drawn independently from a known distribution. Instead of inspecting the options herself, P delegates the information…
In credence goods markets such as health care or repair services, consumers rely on experts with superior information to adequately diagnose and treat them. Experts, however, are constrained in their diagnostic abilities, which hurts market…
All people have to make risky decisions in everyday life. And we do not know how true they are. But is it possible to mathematically assess the correctness of our choice? This article discusses the model of decision making under risk on the…
While delegating tasks to large language models (LLMs) can save people time, there is growing evidence that offloading tasks to such models produces social costs. We use behavior in two canonical economic games to study whether people have…
Recent debates over adults' theory of mind use have been fueled by surprising failures of perspective-taking in communication, suggesting that perspective-taking can be relatively effortful. How, then, should speakers and listeners allocate…
Most theoretical definitions about the complexity of manipulating elections focus on the decision problem of recognizing which instances can be successfully manipulated, rather than the search problem of finding the successful manipulative…
An expert seller chooses an experiment to influence a client's purchasing decision, but may manipulate the experiment result for personal gain. When credibility surpasses a critical threshold, the expert chooses a fully-revealing experiment…
This study replicates and adapts the experiment of Hoelzl and Rustichini (2005), which examined overplacement, i.e., overconfidence in relative self-assessments, by analyzing individuals' voting preferences between a performance-based and a…