We study how group size a ects cooperation in an in nitely repeated n-player Prisoner's Dilemma (PD) game. In each repetition of the game, groups of size n ≤ M are randomly and anonymously matched from a xed population of size M to play the n-player PD stage game. We provide conditions for which the contagious strategy (Kandori, 1992) sustains a social norm of cooperation among allM players. Ou...

Tax Morale and Compliance Behavior: First Evidence on a Causal Link Recent literature on tax evasion emphasizes the importance of moral considerations to explain compliance behavior. As a consequence scholars aim to identify factors that shape this so-called tax morale. However, the causal link between tax morale and actual compliance behavior is not established yet. Exploiting exogenous variat...

The Economic Determinants of Ethnic Assimilation Expanding on the concept of ethnic human capital, the paper distinguishes between cultural assimilation compatible with persistent ethnic groups and assimilation through intermarriage and other mechanisms that blur distinctions and lead to the disappearance of ethnic identities. Economic determinants of “successful” and “disadvantaged” group outc...

A model of the cultural co-evolution of honesty and capital is analyzed. It is shown that the sign of the payoff differential between honest and dishonest types depends on the ratio of benefits that an employee gets from shirking to the resulting loss of revenue to the firm. If this ratio decreases with capital accumulation, then multiple equilibria in output and honesty are possible in the lon...

This paper provides a set of results on the econometric identifiability of binary choice models with social interactions. Our analysis moves beyond parametric identification results that have been obtained in the literature to consider the identifiability of model parameters when the distribution of random payoff terms is unknown. Further, we consider how identification is affected by the prese...

We construct a database linking European royal kinship networks, monarchies, and wars to study the effect of family ties on conflict. To establish causality, we exploit decreases in connection caused by apolitical deaths rulers’ mutual relatives. These are associated with substantial increases frequency duration war. provide evidence that these affect conflict only through changing network. Ove...

This paper investigates the gender-selection decisions of immigrants in the United Kingdom, using data from the 1971–2006 General Household Survey. We examine sexselection in the UK among immigrant families and the gender composition of previous births, conditional on socio-economic characteristics. Our key result is that bettereducated immigrants balance their family after the birth of two son...

This paper explores the relationship of social capital to self-rated health status in Japan, and how this is affected by the labor market. Data of 3075 adult participants in the 2000 Social Policy and Social Consciousness (SPSC) survey were used. Controlling for endogenous bias, the main finding is that social capital has a significant positive influence on health status for people without a jo...

Path dependence in occupations refers to the observed occupational distribution in a population or in a sub-population at a point in time that depends on changes that occurred years or centuries earlier. Path dependence in occupations can be the outcome of the cumulative concentration of certain productive activities in specific regions over time, it can emerge through the effect of parental in...

Many lament that weak accountability and poor governance impede economic development in Africa. Politicians rely on ethnic allegiances that deliver the vote irrespective of performance, dampening electoral incentives. Giving voters information about candidate competence counters ethnic loyalty and strengthens accountability. I extend a canonical electoral model to show how information provision...