Deception in Psychology: Moral Costs and Benefits of Unsought Self-Knowledge

Is it ethically permissible to use deception in psychological experiments? We argue that, provided some requirements are satisfied, it is possible to use deceptive methods without producing significant harm to research participants and without any significant violation of their autonomy. We also argue that methodological deception is at least at the moment the only effective means by which one can acquire morally significant information about certain behavioral tendencies. Individuals in general, and research participants in particular, gain self-knowledge which can help them improve their autonomous decision-making. The community gains collective self-knowledge that, once shared, can play a role in shaping education, informing policies and in general creating a more efficient and just society.     

SATISFICING AND PRIOR‐FREE OPTIMALITY IN PRICE COMPETITION

We apply a model of satisficing to oligopoly markets with price competition. Sellers have profit aspirations reflecting their conjectures about their competitors' behavior and search for a price guaranteeing these aspirations. Because it seems implausible that people have detailed priors on the others' actions, we postulate that sellers entertain multiple conjectures to which no probabilities can be assigned. This allows us to propose a theory of “prior‐free” optimality and to examine experimentally whether people comply with it. We find that decision makers have difficulties in making prior‐free optimal choices. Most are content to just satisfice, although ways to aspire to more ambitious profits were obviously available. (JEL C92, C72, D43)     

The Distribution of Infectious Diseases and Extrinsic Mortality Across Countries

Analysis of the spatial distribution and geographical determinants of human infectious agents across countries suggests that the total number of multi-host vector-transmitted diseases provides a useful measure of the mortality environment. Pathogens of this type are difficult to eradicate because they multiply in both humans and non-human hosts and are bound to specific climatological conditions. The count index of multi-host vector-transmitted diseases that are endemic in a country is a good proxy of life expectancy and of the likelihood of epidemics. This count is useful for cross-country empirical comparisons because it is not driven by demographic and economic conditions.     

ON THE SOCIAL DIMENSION OF TIME AND RISK PREFERENCES: AN EXPERIMENTAL STUDY

When explaining risk taking, intertemporal allocation, and distributing behavior, economists rely on risk, time, and other-regarding preferences but offer no guidance on how these three crucial aspects are interrelated. We report on an experiment exploring such interrelation. For this sake, we compare evaluations of several prospects, each of which allocates certain or risky and immediate or delayed payoffs to the actor and to another participant. We find that individuals are self-oriented as to social allocation of risk and delay and other-regarding with respect to expected payoffs . ( JEL C91, D63, D81)