The following text consolidates the instructions for all 5 treatments reported in Ortmann, Fitzgerald, & Boeing, "Trust, Reciprocity, and Social History: A Re-examination" (forthcoming in Experimental Economics; for details please see Table 0: Experimental Design and Dates of Implementation.) The text below was used for all treatments; variations in the instructions for each treatment are shown in brackets {...} and denoted

Boldfaced text is commentary.

 

INSTRUCTIONS (for room A)

You have been asked to participate in an economics experiment. The instructions you are about to read are self-explanatory. We will not answer any questions during this experiment. If you have any questions, you should read back through these instructions. Now that the experiment has begun, we ask that you do not talk, at all, during this experiment.

In this experiment each of you will be randomly paired with a different person who is in another room. You will not be told who these people are either during or after the experiment. This is room A, other participants are in room B. You will notice that there are other people in

the same room with you who are also participating in this experiment. You will not be paired with any of these people. A person in room A, called monitor A, and a person in room B, called monitor B, will be chosen for today’s experiment. The monitors will be in charge of the envelopes as explained below. In addition the monitors will verify that the instructions have been followed as they appear here. {For Q add: Participants in room A have also been supplied with a questionnaire and a pen. Please check now that you have these items. If you are missing anything, please let the experimenter know now. When you make your decision, we also ask that you complete the questionnaire.}

Each person in room A and each person in room B will been given $10 as a show-up fee for this experiment. Persons in room A will have the opportunity to send in an envelope, some, all, or none of their show-up fee to a person in room B. Each dollar sent to room B will be tripled

before it reaches room B. For example, if you send an envelope which contains $2, the envelope will contain $6 when it reaches room B. If you send an envelope which contains $9, the envelope will contain $27 when it reaches room B. The person in room B will then decide how much money to send back to the person in room A and how much money to keep. (Recall that you are in room A.)

{For H-OFB add: Participants in room A (you) have also been supplied with a chart. (The chart is attached to these instructions.) Please check that you have these items now. If you are missing anything, please let the experimenter know now. The chart summarizes the results of previous experiments at Bowdoin. Please take a minute now to review the chart.}

{For H-BDM add: Participants in room A (you) have also been supplied with a chart and a bar-graph. (Chart and bar-graph are attached to these instructions.) Please check that you have these items now. If you are missing anything, please let the experimenter know now. The chart summarizes the results of previous experiments at Bowdoin, and the bar-graph below it illustrates these results. The entire bars (dark and white regions) on the bar-graph represent the amounts received by participants (A, B, ... , P) in room B. The dark areas represent the portions of those amounts that participants in room B returned to their counterparts in room A. Please take a minute now to review bar-graph and chart.}

{For HQ add: Participants in room A (you) have also been supplied with a chart, a bar-graph, a questionnaire, and a pen. Please check that you have all four items. If you are missing anything, please let the experimenter know now. The chart summarizes the results of previous experiments at Bowdoin, and the bar-graph below it illustrates these results. The entire bars (dark and white regions) on the bar-graph represent the amounts received by participants (A, B, ... , P) in room B. The dark areas represent the portions of those amounts that participants in room B returned to their counterparts in room A. Please take a minute now to review bar-graph and chart.}

{For H-OFB, H-BDM, and HQ add: You will have a chance to review this information after the instructions have been read, and again while you make your decision as to how much of your show-up fee to send.}

{For HQ add: When you make your decision, we also ask that you complete the questionnaire.}

[Please note: The bar-graph mentioned in the preceding paragraphs corresponded to Figure 1; the chart presented the same information in the format documented in Berg, Dickhaut, and McCabe 1995]

The remainder of these instructions will explain exactly how this experiment is run. This experiment is structured so that no one, including the experimenters and monitors, will know the personal decision of people in either room A or room B. Since your decision is private we ask that you do not tell anyone your decision either during, or after, the experiment.

The experiment is conducted as follows: Eight large unmarked envelopes have been placed in a box in a room A. Each of these envelopes contains 10 one-dollar bills (the show-up fee for a person in room A), a smaller inner envelope, and a key in a sealed envelope marked KEY. The inner envelope and key are marked with the same letter of the alphabet. The monitor, in room A, will point to one person at a time, and hand that person a large and unmarked envelope from the box. The person who was pointed to will then go to a seat with a box on top of the writing surface, and privately open the unmarked envelope inside the box. Only the person who opened the envelope will know which letter of the alphabet was in the envelope. Do not open the envelope marked KEY until you are told to do so. The monitor will then point to the next person, and continue in this fashion until everyone has made their decisions.

{B: Each person in room A must decide how many dollar bills to put in the inner envelope.}{H-BDM: Each person in room A should review the chart provided with these instructions. Then each person in room A must decide how many dollar bills to put in the inner envelope.}{H-OFB: Each person in room A should review the chart and the bar-graph provided with these instructions. Then each person in room A must decide how many dollar bills to put in the inner envelope.} {Q: Each person in room A must fill out the questionnaire at that point and decide how many dollars bills to put in the inner envelope together with the completed questionnaire.} {HQ: Each person in room A should review the chart and the bar-graph provided with these instructions. Persons in room A should then complete the questionnaire with their pen and fold it when done. Then each person in room A must decide how many dollar bills to put in the inner envelope.} The person then pockets the remaining dollar bills and the envelope marked KEY. Examples: (1) Put $9 in the inner envelope, and pocket $1 as well as the envelope marked KEY. (2) Put $2 in the inner envelope, and pocket $8 as well as the envelope marked KEY. These are examples only, the actual decision is up to each person.

Once a person in room A has made a decision they should put the inner envelope back inside the large unmarked envelope, and return the unmarked envelope to the box marked "return envelopes". Persons in room A should make sure that they have kept the envelope marked KEY as they will use this later in the experiment. Notice that each envelope returned will look exactly the same.

After all the envelopes have been put in the return box, monitor A will transport the box to a recorder who is in the hallway. With monitor A observing, the recorder will then, one at a time, take the inner envelope out of the unmarked envelope and record on a blank sheet of paper, the letter on the envelope, and the amount of money in the envelope. {For Q and HQ add: The recorder will retain the questionnaire.} While monitor A is observing, the recorder will then triple the amount of money in the inner envelope, and place the inner envelope back into the unmarked outer envelope. At this point, the recorder will signal the monitor from room B to come to the recorder’s desk. Once monitor B has arrived, monitor A will be asked to return to room A.

Monitor B will then carry the box of envelopes to room B. Monitor B will then point to one person at a time, and hand that person an unmarked envelope from the box. The person who was called will then go to a seat with a box on top of the writing surface and then privately open the outer envelope inside the box. The monitor will then point to the next person. Each person in room B must decide how many dollar bills to leave in the inner envelope and how much to keep. The person then pockets the remaining dollar bills. The inner envelope should then be placed in the unmarked outer envelope and the outer envelope should then be placed in the box marked "return envelopes". The person in room B will then be asked to leave since the experiment is over for that person. After all the envelopes in room B are returned, monitor B will transport the box to the recorder in the hallway. The recorder will then, one at a time, open the inner envelope and record on a blank sheet of paper, the letter on the envelope, and the amount of money in the inner envelope. The recorder will then signal monitor A to come to the recorder’s desk. Once monitor A has arrived monitor B will return to room B.

When monitor A arrives the monitor and recorder will carry the box of envelopes to room C adjacent to room A. Room C contains strong-boxes with identifying letters. The letters correspond to the letters on the inner envelopes. While the recorder observes, monitor A will place each inner envelope in the box with the corresponding letter. All the strong-boxes will then be locked. The recorder will then go back to his desk in the hallway and monitor A will go to room A.

Monitor A will then point to one person at a time from room A. That person will then enter room C alone and open the envelope marked KEY. Inside this envelope is a lettered key which will open the strong-box with the corresponding letter. The inner envelope in the strong-box is the same one the person in room A started with. The person from room A will then go to the appropriate strong-box, open it, take out the envelope, and remove the money. The person will then return the envelope to the strong-box and lock the strong-box. The person will then return the key to the envelope marked KEY and drop the envelope in the box marked "keydrop" just outside the door in the hallway. When you are called to go to room C you should take all your belongings since you will be asked to leave the building when you are done. {For H-OFB add: Please leave this copy of the instructions and the chart in room A.} {For H-OFB add: Please leave this copy of the instructions, the chart and the bar-graph in room A.} {For HQ add: Please leave this copy of the instructions, the chart, the bar-graph, and the pen in room A.}

When everyone in room A has left, the experiment is over, and the monitors will be paid for their participation.

Any questions?

[Collect informed consent form]

INSTRUCTIONS (for room B)

You have been asked to participate in an economics experiment. The instructions you are about to read are self-explanatory. We will not answer any questions during this experiment. If you have any questions, you should read back through these instructions. Now that the experiment has begun, we ask that you do not talk, at all, during this experiment.

In this experiment each of you will be randomly paired with a different person who is in another room. You will not be told who these people are either during or after the experiment. This is room B, other participants are in room A. You will notice that there are other people in the same room with you who are also participating in this experiment. You will not be paired with any of these people. A person in room A, called monitor A, and a person in room B, called monitor B, will be chosen for today’s experiment. The monitors will be in charge of the envelopes as explained below. In addition the monitors will verify that the instructions have been followed as they appear here.

Each person in room A and each person in room B has been given $10 as a show-up fee for this experiment. Persons in room A will have the opportunity to send in an envelope, some, all, or none of their show-up fee to a person in room B. Each dollar sent to room B will be tripled before it reaches room B. For example, if you send an envelope which contains $2, the envelope will contain $6 when it reaches room B. If you send an envelope which contains $9, the envelope will contain $27 when it reaches room B. The person in room B will then decide how much money to send back to the person in room A and how much money to keep. (Recall that you are in room B.)

The remainder of these instructions will explain exactly how this experiment is run. This experiment is structured so that no one, including the experimenters and monitors, will know the personal decision of people in either room A or room B. Since your decision is private we ask that you do not tell anyone your decision either during, or after, the experiment.

The experiment is conducted as follows: Eight large unmarked envelopes have been placed in a box in a room A. Each of these envelopes contains 10 one-dollar bills (the show-up fee for a person in room A), a smaller inner envelope, and a key in a sealed envelope marked KEY. The inner envelope and key are marked with the same letter of the alphabet. The monitor, in room A, will point to one person at a time, and hand that person a large and unmarked envelope from the box. The person who was pointed to will then go to a seat with a box on top of the writing surface, and privately open the unmarked envelope inside the box. Only the person who opened the envelope will know which letter of the alphabet was in the envelope. The monitor will then point to the next person, and continue in this fashion until everyone has made their decisions.

Each person in room A must decide how many dollar bills to put in the inner envelope. The person then pockets the remaining dollar bills and the envelope marked KEY. Examples:

(1) Put $9 in the inner envelope, and pocket $1 as well as the envelope marked KEY. (2) Put

$2 in the inner envelope, and pocket $8 as well as the envelope marked KEY. These are examples only, the actual decision is up to each person.

Once a person in room A has made a decision they will put the inner envelope back inside the large unmarked envelope, and return the unmarked envelope to the box marked "return envelopes". Each envelope returned will look exactly the same.

After all the envelopes have been put in the return, box monitor A will transport the box to a recorder who is in the hallway. With monitor A observing, the recorder will then, one at a time, take the inner envelope out of the unmarked envelope and record on a blank sheet of paper, the letter on the envelope, and the amount of money in the envelope. While monitor A is observing, the recorder will then triple the amount of money in the inner envelope, and place the inner envelope back into the unmarked outer envelope. At this point, the recorder will signal the monitor from room B to come to the recorder’s desk. Once monitor B has arrived, monitor A will be asked to return to room A.

Monitor B will then carry the box of envelopes to room B. Monitor B will then point to one person at a time, and hand that person an unmarked envelope from the box. The person who was called will then go to a seat with a box on top of the writing surface and then privately open the outer envelope inside the box. The monitor will then point to the next person. Each person in room B must decide how many dollar bills to leave in the inner envelope and how much to keep. The inner envelope should then be placed in the unmarked outer envelope and the outer envelope should then be placed in the box marked "return envelopes". The person in room B will then be asked to leave since the experiment is over for that person. When you leave we ask that you leave the building directly. After all the envelopes in room B are returned, monitor B will transport the box to the recorder in the hallway. The recorder will then, one at a time, open the inner envelope and record on a blank sheet of paper, the letter on the envelope, and the amount of money in the inner envelope. The recorder will then signal monitor A to come to the recorder’s desk. Once monitor A has arrived, monitor B will return to room B.

When monitor A arrives the monitor and recorder will carry the box of envelopes to room C adjacent to room A. Room C contains strong-boxes with identifying letters. The letters correspond to the letters on the inner envelopes. While the recorder observes, monitor A will place each inner envelope in the box with the corresponding letter. All the strong-boxes will then be locked. The recorder will then go back to his desk in the hallway and monitor A will go to room A.

Monitor A will then point to one person at a time from room A. That person will then enter room C alone and open the envelope marked KEY. Inside this envelope is a lettered key which will open the strong-box with the corresponding letter. The inner envelope in the strong-box is the same one the person in room A started with. The person from room A will then go to the appropriate strong-box, open it, take out the envelope, and remove the money. The person will then return the envelope to the strong-box and lock the strong-box. The person will then return the key to the envelope marked KEY and drop the envelope in the box just outside the door in the hallway.

When everyone in room A has left, the experiment is over, and the monitors will be paid for their participation.

Any questions?

[Collect informed consent form]

 

 

TEXT OF THE QUESTIONNAIRE

1. How much money do you think you will send?

2. How much money will your room B counterpart receive if you send this much?

3. How much money do you think will be returned to you?

4. How much money would you return if you were in room B?