To pay or to apologize? On the psychology of dealing with unfair offers in a dictator game

Journal of Economic Psychology

Volumn 31, Issue 6, 2010, Pages 843-848

  De Cremer, David ^a  

^a ERASMUS UNIVERSITY   (Netherlands)

Author keywords

Apologies; Financial compensations; Gains; Losses; Trust game; Trust repair; Ultimatum bargaining

Indexed keywords

EID: 78449298920     PISSN: 01674870     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.joep.2010.05.006     Document Type: Article

References (44)

1. Barclay L.J., Skarlicki D.P. Shifting perspectives: Helping victims recover from organizational justice violations. Justice, morality, and social responsibility 2008, 155-199. Information Age Publishing, Charlotte, NC. S.W. Gilliland, D.P. Skarlicki, D.D. Steiner (Eds.).
2. Berg J., Dickhaut J., McCabe K. Trust, reciprocity, and social history. Games and Economic Behavior 1995, 10:122-142.
3. Blount S. When social outcomes aren't fair: The effect of causal attributions on preferences. Organizational Behavior and Human Decision Processes 1995, 63:131-144.
4. Blount S., Larrick R.P. Framing the game: Examining frame choice in bargaining. Organizational Behavior and Human Decision Processes 2000, 81:43-71.
5. Boksem M.A.S., De Cremer D. Moral identity and negative emotion activity when receiving an unfair offer in bargaining. Social Neuroscience 2010, 5:118-128.
6. Bottom W., Daniels S., Gibson K.S., Murnighan J.K. When talk is not cheap: Substantive penance and expressions of intent in the reestablishment of cooperation. Organization Science 2002, 13:497-515.
7. Camerer C.F. Individual decision making. The handbook of experimental economics 1995, 587-703. Princeton University Press, Princeton, NJ. J. Kagel, A. Roth (Eds.).
8. Cook K.S., Cooper R.M. Experimental studies of cooperation, trust, and social exchange. Trust and reciprocity: Interdisciplinary lessons from experimental research 2003, 209-244. Russell Sage Foundation, New York. E. Ostrom, J. Walker (Eds.).
9. Curhan J.R., Elfenbein H.A., Xu H. What do people value when they negotiate? Mapping the domain of subjective value in negotiation. Journal of Personality and Social Psychology 2006, 91:493-512.
10. Darley J.M., Pittman T.S. The psychology of compensatory and retributive justice. Personality and Social Psychology Review 2003, 7:324-336.
11. De Cremer D. Respect and cooperation in social dilemmas: The importance of feeling included. Personality and Social Psychology Bulletin 2002, 28:1335-1341.
12. De Cremer D. Noneconomic motives predicting cooperation in public good dilemmas: The effect of received respect on contributions. Social Justice Research 2003, 16:367-377.
13. De Cremer, D. (in press). On the Psychology of preventing and dealing with ethical failures: A behavioral ethics approach. In M. Schminke (Ed.), Managerial ethics. Taylor and Francis.
14. De Cremer D., Schouten B.C. When apologies for injustice matter: The role of respect. European Psychologist 2008, 13:239-247.
15. De Cremer D., van Dijk E., Pillutla M. Explaining unfair offers in ultimatum games and their effects on trust: An experimental approach. Business Ethics Quarterly 2010, 20:107-126.
16. Desmet, P., De Cremer, D., & Van Dijk, E. (submitted for publication). In money we trust? When financial compensations matter in repairing trust.
17. Fetchenhauer D., Dunning D. Do people trust too much or too little?. Journal of Economic Psychology 2009, 30:263-276.
18. French W. The personnel management process: Human resources administration 1964, Houghton Mifflin, Boston.
19. Fukuyama F. Trust: The social virtues and the creation of prosperity 1995, Free Press, New York.
20. Güth W., Schmittberger R., Schwarze B. An experimental analysis of ultimatum bargaining. Journal of Economic Behavior and Organization 1982, 3:367-388.
21. Handgraaf M.J.J., Van Dijk E., De Cremer D. Social utility in ultimatum bargaining. Social Justice Research 2003, 16:263-283.
22. Kahneman D., Knetsch J.L., Thaler R. Fairness as a constraint on profit seeking: Entitlements in the market. American Economic Review 1986, 76:728-741.
23. Kahneman D., Tversky A. Prospect theory: Analysis of decision under risk. Econometrica 1979, 47:263-291.
24. Kim P., Dirks K., Cooper C., Ferrin D. When more blame is better than less: the implications of internal vs. external attributions for the repair of trust after a competence- vs. integrity-based trust violation. Organizational Behavior and Human Decision Processes 2006, 99:49-65.
25. Kim P.H., Ferrin D.L., Cooper C.D., Dirks K.T. Removing the shadow of suspicion: The effects of apology vs. denial for repairing ability- vs. integrity-based trust violations. Journal of Applied Psychology 2004, 89:104-118.
26. Knack S., Keefer P. Does social capital have an economic payoff? A cross-country investigation. The Quarterly Journal of Economics 1997, 112:125-188.
27. Kramer R.M. Trust and distrust in organizations: Emerging perspectives, enduring questions. Annual Review of Psychology 1999, 50:569-598.
28. Lax D.A., Sebenius J.K. Interests: The measure of negotiation. Negotiation Journal 1986, 2:73-92.
29. Leliveld M.C., Van Beest I., Van Dijk E., Tenbrunsel A.E. Understanding the influence of outcome valence in bargaining: A study on fairness accessibility, norms, and behavior. Journal of Experimental Social Psychology 2009, 45:505-514.
30. Lewicki R.J., Tomlinso E.C., Gillespie N. Models of interpersonal trust development: Theoretical approaches, empirical evidence and future directions. Journal of Management 2006, 32:991-1022.
31. Loewenstein G.F., Thompson L., Bazerman M.H. Social utility and decision making in interpersonal contexts. Journal of Personality and Social Psychology 1989, 57:426-441.
32. Matthijs P., Valkenberg H. Effects of gain versus loss and certain versus probable outcomes on social value orientations. European Journal of Social Psychology 2003, 33:331-337.
33. Messick D.M., Sentis K.P. Estimating social and nonsocial utility functions from ordinal data. European Journal of Social Psychology 1985, 15:389-399.
34. Pillutla M.M., Murnighan J.K. Being fair or appearing fair: Strategic behavior in ultimatum bargaining. Academy of Management Journal 1995, 38:1408-1426.
35. Robbennolt J. Apologies and legal settlement: An empirical examination. Michigan Law Review 2003, 102(460).
36. Scher S.J., Darley J.M. How effective are the things people say to apologize? Effects of the realization of the apology speech act. Journal of Psycholinguistic Research 1997, 26:127-140.
37. Schweitzer M., Hershey J., Bradlow E. Promises and lies: Restoring violated trust. Organizational Behavior and Human Decision Processes 2006, 101:1-19.
38. Smythies J. A better mousetrap: Economics, psychology, blind spots and reform. The Journal of Behavioral Finance 2009, 10:125-127.
39. Tyler T.R., Lind E.A. A relational model of authority in groups. Advances in Experimental Social Psychology 1992, 25:115-191.
40. Van Dijk E., Vermunt R. Strategy and fairness in social decision making: Sometimes it pays to be powerless. Journal of Experimental Social Psychology 2000, 36:1-25.
41. Van Lange P.A.M., De Cremer D., Van Dijk E., Van Vugt M. From aggression to altruism: Basic principles of social interaction. Social psychology: Handbook of basic principles 2007, Guilford Publications, New York. E.T. Higgins, A.W. Kruglanski (Eds.).
42. Wenzel M., Okimoto T.G. How acts of forgiveness restore a sense of justice: Addressing status/power and value concerns raised by transgressions. European Journal of Social Psychology 2010, 40:401-417.
43. Williamson O.E. The economics of organization: The transaction cost approach. American Journal of Sociology 1981, 87:548-577.
44. Williamson O.E. Calculativeness, trust, and economic organization. Journal of Law and Economics 1993, 36:453-486.