Strategic Decisions: Behavioral Differences Between CEOs and Others

Forskningsoutput: Working paper

Abstract

Differences in strategic decision making between CEOs and other people are interesting since CEOs make important economic decisions and impact values and norms in society. Our study combines a large stratified random sample of 199 CEOs of medium-size firms with a carefully selected control group of 200 comparable people. All subjects participated in three different incentivized strategic games — Prisoner’s Dilemma, Chicken, Battle-of-the-Sexes. We report substantial and robust differences in both behavior and beliefs between the CEOs and the control group. The CEOs are closer to the socially optimal strategy profile in all games. Hence, as a group the CEOs out-competes the control-group members and thereby receives higher average earnings, but not by being smarter (in the narrow “rationalistic” sense) or more selfish, but by being more cooperative and less aggressive.

Detaljer

Författare
Enheter & grupper
Externa organisationer
  • Cornell University
Forskningsområden

Ämnesklassifikation (UKÄ) – OBLIGATORISK

  • Företagsekonomi

Nyckelord

Originalspråkengelska
UtgivningsortLund
FörlagDepartment of Economics, Lund University
Antal sidor104
StatusPublished - 2016 dec 13
PublikationskategoriForskning

Publikationsserier

NamnWorking Papers
FörlagDepartment of Economics, Lund Universtiy
Nr.35
Volym2016

Relaterad forskningsoutput

Håkan J. Holm, Nee, V. & Sonja Opper, 2019 feb 25, I : Experimental Economics.

Forskningsoutput: TidskriftsbidragArtikel i vetenskaplig tidskrift

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