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Mistakes, Overconfidence, and the Effect of Sharing on Detecting Lies

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  • Marta Serra-Garcia
  • Uri Gneezy
Abstract
Mistakes and overconfidence in detecting lies could help lies spread. Participants in our experiments observe videos in which senders either tell the truth or lie, and are incentivized to distinguish between them. We find that participants fail to detect lies, but are overconfident about their ability to do so. We use these findings to study the determinants of sharing and its effect on lie detection, finding that even when incentivized to share truthful videos, participants are more likely to share lies. Moreover, the receivers are more likely to believe shared videos. Combined, the tendency to believe lies increases with sharing.

Suggested Citation

  • Marta Serra-Garcia & Uri Gneezy, 2021. "Mistakes, Overconfidence, and the Effect of Sharing on Detecting Lies," American Economic Review, American Economic Association, vol. 111(10), pages 3160-3183, October.
    • Handle: RePEc:aea:aecrev:v:111:y:2021:i:10:p:3160-83
    DOI: 10.1257/aer.20191295
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    References listed on IDEAS

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    1. Rabin, Matthew & Eyster, Erik & Weizsäcker, Georg, 2015. "An Experiment on Social Mislearning," CEPR Discussion Papers 11020, C.E.P.R. Discussion Papers.
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    Cited by:

    1. Lohse, Tim & Qari, Salmai, 2021. "Gender differences in face-to-face deceptive behavior," Journal of Economic Behavior & Organization, Elsevier, vol. 187(C), pages 1-15.
    2. In'acio B'o & Li Chen & Rustamdjan Hakimov, 2023. "Strategic Responses to Personalized Pricing and Demand for Privacy: An Experiment," Papers 2304.11415, arXiv.org, revised Nov 2024.
    3. Pedro Gonzalez-Fernandez, 2024. "Belief Bias Identification," Papers 2404.09297, arXiv.org, revised Nov 2024.
    4. Gonzalo Cisternas & Jorge Vásquez, 2022. "Misinformation in Social Media: The Role of Verification Incentives," Staff Reports 1028, Federal Reserve Bank of New York.
    5. Konstantinos Ioannidis, 2022. "Habitual Communication," Tinbergen Institute Discussion Papers 22-016/I, Tinbergen Institute.

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    More about this item

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media

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