A Must Lie Situation: Avoiding Giving Negative Feedback

Gneezy, Uri; Gravert, Christina; Saccardo, Silvia; Tausch, Franziska

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A Must Lie Situation: Avoiding Giving Negative Feedback

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Tausch, Franziska
Max Planck Institute for Research on Collective Goods, Max Planck Society;

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http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2800820
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http://dx.doi.org/10.1016/j.geb.2017.01.008
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Gneezy, U., Gravert, C., Saccardo, S., & Tausch, F. (2017). A Must Lie Situation: Avoiding Giving Negative Feedback. Games and Economic Behavior, 102, 445-454.

Cite as: https://hdl.handle.net/11858/00-001M-0000-002B-146C-A

Abstract

We examine under what conditions people provide accurate feedback to others. We use feedback regarding attractiveness, a trait people care about, and for which objective information is hard to obtain. Our results show that people avoid giving accurate face-to-face feedback to less attractive individuals, even if lying in this context comes at a monetary cost to both the person who gives the feedback and the receiver. A substantial increase of these costs does not increase the accuracy of feedback. However, when feedback is provided anonymously, the aversion to giving negative feedback is reduced.