Disentangling effort and luck is critical when evaluating outcomes. In a principal-agent
experiment, we demonstrate that principals' judgments of agents are biased by luck, despite …

We document outcome bias in situations where an agent makes risky financial decisions for
a principal. In three experiments, we show that the principal's evaluations and financial …

We use a lab-in-the-field experiment to examine how personal experience of good or bad
luck and information about the behavior of others influence the risk taking behavior of small …

Microfinance is generally associated with high repayment rates. However, it is not clear what
drives such high repayment rates? Does the success of microfinance results only from the …

In a sequence of experiments, this study investigates how people evaluate others who make
risky decisions on their behalf, and how such evaluations affect delegated risk-taking. A …

Microfinance groups often engage in a variety of collective activities not directly related to
credit. We design a three-stage repayment game to examine how the existence of these …

Many risky decisions generate either positive externalities (eg, opening a small business,
engaging in research and development, vaccinating) or negative externalities (eg, smoking …

In this paper, we examine how stakeholders hold trustees accountable in voluntary
relationships. Trustees are economic agents such as physicians, entrepreneurs, or political …

Risk choice delegation is pervasive in financial environments. While previous research has
explored how agents balance self-interest with interests of passive investors little is known …

This study investigates how reciprocity works in a simple trust game when the subjects are
framed as either lucky or unlucky. We induce luckiness perception to the second mover by …