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Trial Title Markets, Institutions, and Morals: Inter- and Intragenerational Differences in Corrupt Behavior Inter- and Intragenerational Differences in Corrupt Behavior: The Development of Morals after German Reunification
Abstract We investigate the suspected detrimental effect of markets on morals by analyzing corrupt behavior of individuals who experienced different institutional environments during their socialization. Additionally, we explore if the adaptation of institutions results in a convergence effect for moral behavior among different generations. Considering the German reunification as a natural experiment for fundamental institutional change for the Eastern part, we conducted an online study (N=168) playing an experimental sequential bribery game with East and West Germans, born distinctly before and after the collapse of the socialist system in East Germany. We find a higher propensity toward corrupt behavior among young Germans who grew up in a market-oriented economy. Disentangling first-round and multiple-round effects, young East Germans did even reveal a higher inclination to bribe compared to their West German counterparts. Contrary, we find the opposite behavior among the older generation. Therefore, we propose a conversion to immoral behavior for the sake of their own advantages among young East Germans, growing up under the tense relationship of market opportunities and conveyed cultural traits of a socialist imprint. We infer a negative effect of market-oriented institutions on moral values, leading to an overcompensating behavior among young East Germans. We investigate the suspected detrimental effect of markets on morals by shedding light on corrupt behavior among individuals of two generations who experienced differing institutional environments. These varying experiences imply a disparate exposure to market conditions, shaping individuals' preferences and beliefs during socialization. We aim to understand whether these experiences affect the inclination toward immoral, here especially corrupt, behavior. Additionally, we explore how adapting institutions to a market-oriented system influences this inclination toward corrupt behavior among different generations. Considering Germany's reunification as a natural experiment for fundamental institutional change in the Eastern part of Germany, we conducted an online study playing an experimental sequential bribery game with East and West Germans (N=168) born distinctly before and after the collapse of the socialist system in East Germany. We find a higher propensity toward corrupt behavior among young Germans who grew up in a market-oriented economy compared to the older generation who experienced either socialist or market-oriented institutional conditions. Disentangling first-round and multiple-round effects, young East Germans even reveal a greater inclination to bribe compared to their West German counterparts. We conclude that there is an aggravation of immoral behavior among young East Germans who grew up under the tense relationship between market opportunities and conveyed cultural traits of a socialist imprint. Identified immoral behavior among young East Germans may be driven by a negative effect of market-oriented institutions on moral values.
Trial End Date April 30, 2021 May 31, 2021
Last Published January 04, 2022 02:43 AM May 17, 2023 04:01 PM
Study Withdrawn No
Intervention Completion Date May 18, 2021
Data Collection Complete Yes
Final Sample Size: Number of Clusters (Unit of Randomization) 75 subjects from East Germany, 93 subjects from West Germany
Was attrition correlated with treatment status? No
Final Sample Size: Total Number of Observations 168 subjects
Final Sample Size (or Number of Clusters) by Treatment Arms 47 students East Germany, 54 students West Germany, 28 seniors East Germany, 39 seniors West Germany
Public Data URL https://osf.io/9fzvp/?view_only=5572b2dd749a4e5bb57322bbc3e8accf
Is there a restricted access data set available on request? No
Program Files No
Data Collection Completion Date May 18, 2021
Is data available for public use? Yes
Intervention (Public) We play a bribery game with different groups concerning age and origin in Germany. We implement both games in an online environment avoiding a strictly laboratory setting and this way being able to include different groups in their natural environment. We play a bribery game with different cohorts concerning age and origin in Germany. We implement the game in an online environment matching two players randomly. In one session, several pairs of players simultaneously play the game. After the game, they are directed to a subsequent questionnaire.
Intervention End Date March 31, 2021 May 18, 2021
Primary Outcomes (End Points) Bribery Game: Decisions to make a transfer by one player for the acceptance of a request by the other player. This player decides to accept the transfer first and later the request. They can build a strategy over several rounds for interaction among both players. Main outcome is the amont of transfer payments and the rate of acceptance by the other player. Bribery Game: Decisions to make a transfer by one player for the acceptance of a request by the other player. This player decides to accept the transfer first and later the request. They can build a strategy over several rounds for interaction among both players. Main outcome is the amount of transfer payments and the rate of acceptance by the other player.
Experimental Design (Public) We intend to contribute to the literature by running an experiment in an online environment. We use ClassEx in order to run the experiments (Giamattei & Lambsdorff, 2019). We aim to collect data for different age groups in East and West Germany. Regarding the bribery game, pairs will be matched and make concecutive decisions depending on the action of the other player. Decisions will only have an impact on the outcome of the partner. We aim to contribute to the literature by running an experiment in an online environment. We use ClassEx in order to run the game online (Giamattei & Lambsdorff, 2019). We collect data for different age groups in East and West Germany. Regarding the bribery game, pairs will be matched and make concecutive decisions depending on the action of the other player. Decisions will only have an impact on the outcome of the partner.
Randomization Unit Overall stratified randomization by age and region. In the game randomization on the individual level. Overall: stratified randomization by age and region. In the game: randomization on the individual level.
Planned Number of Clusters 2 * 120 (for the Eastern and Western federal state) 2 * 100 (for the Eastern and Western federal state)
Planned Number of Observations 120 students, 120 seniors 100 students, 100 seniors
Sample size (or number of clusters) by treatment arms 60 students East Germany, 60 students West Germany, 60 seniors East Germany, 60 seniors West Germany 50 students East Germany, 50 students West Germany, 50 seniors East Germany, 50 seniors West Germany
Pi as first author No Yes
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