Abstract
Guo, Libby, and Liu (2017) (hereafter GLL), examine how pairs of experimental subjects interact in a game framed as a funding request from a privately informed subordinate to a superior. When the superior’s pay is higher than the subordinate’s, subordinates display more self-serving dishonesty and superiors are more tolerant of it than when their pay is the same. In this discussion, I compare GLL’s design with an ultimatum game, consider additional tensions that arise in pay-level comparisons, address the applicability of their results, and suggest some extensions. I conclude by calling for new theory that regularizes GLL’s surprising findings.
Translated title of the contribution | Discussion of “the effects of vertical pay dispersion: Experimental evidence in a budget setting” |
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Original language | French |
Pages (from-to) | 577-581 |
Number of pages | 5 |
Journal | Contemporary Accounting Research |
Volume | 34 |
Issue number | 1 |
DOIs | |
State | Published - Mar 1 2017 |
All Science Journal Classification (ASJC) codes
- Accounting
- Finance
- Economics and Econometrics