Dishonesty When the Game Is Unfair: Experimental Evidence for the Effect of Economic Inequality on Tax Evasion and Cheating

Although the link between economic inequality and dishonest behavior is well-established in the literature, their causal relation is still unclear. Here we investigate the causal link between economic inequality and dishonest behavior in a simulated society with high or low economic inequality, whil...

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Bibliographic Details
Published in:Social psychology (Göttingen, Germany) Germany), 2023-11, Vol.54 (6), p.337-347
Main Authors: Galdi, Silvia, Durante, Federica, Maass, Anne
Format: Article
Language:English
Subjects:
Behavior
Causality
Cheating
Dishonesty
Economic conditions
Economic Inequality
Ethical Decision Making
Human
Income inequality
Lower Income Level
Middle class
Social status
Socioeconomic Status
Taxation
Upper Income Level
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Summary:Although the link between economic inequality and dishonest behavior is well-established in the literature, their causal relation is still unclear. Here we investigate the causal link between economic inequality and dishonest behavior in a simulated society with high or low economic inequality, while holding middle-class status of the participants constant across conditions. Study 1 (N = 479) focuses on tax evasion, showing that high (vs. low) economic inequality increases the tendency to not declare taxable income. Study 2 (N = 228) analyzes cheating behavior, showing that participants under high (vs. low) economic inequality cheat more to increase their income. Together, the studies provide experimental evidence that economic inequality plays a causal role in dishonest behaviors, such as tax evasion and cheating.
ISSN:1864-9335
2151-2590
DOI:10.1027/1864-9335/a000531