Some Determinants of Trust Formation and Pro-social Behaviours in Investment Games: An Experimental Study

This study aims to examine some ‘circumstances’ that may influence trust formation and, in general, pro-social behaviours in game situations characterized by complex strategies, i.e. not binomial choices. We consider the potential role played by one-way communication (cheap talk), social history, and ‘climate effects’ induced by meditation in a single experiment based on the well-known investment game introduced by Berg et al. (1995). Our main findings are that meditation enhances trust formation, while social history and cheap talk have limited or no effect on it—at least on average.