Håkan J. Holm () and Toshiji Kawagoe ()
Håkan J. Holm: Department of Economics, Lund University, Postal: Department of Economics, School of Economics and Management, Lund University, Box 7082, S-220 07 Lund, Sweden
Toshiji Kawagoe: Department of Complex Systems, Postal: Department of Complex Systems, Future University, Hakodate, Japan
Abstract: This paper investigates face-to-face lying and beliefs associated with it. In experiments in Sweden and Japan, subjects answer questions about personal characteristics, play a face-to-face sender-receiver game and participate in an elicitation of lie-detection beliefs. The previous finding of too much truth-telling (compared to the equilibrium prediction) also holds in the face-to-face setting. A new result is that although many people claim that they are good at lie-detection, few reveal belief in this ability when money is at stake. Correlations between the subjects’ characteristics and their behavior and performances in the game are also explored.
42 pages, February 29, 2008
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