Social and Behavioral Sciences Commons^™

Why Trust Out-Groups? The Role Of Punishment Under Uncertainty, Xiaofei Pan, Daniel Houser

Economics Faculty Journal Articles

We conducted a hidden-effort trust game, in which we assigned subjects to one of two groups. The groups, which were formed through two different group formation processes, included a “social” group that required sharing and exchange among its members, and a “non-social” group that did not. Once assigned, subjects participated in the game with members from both groups, either with or without the opportunity to punish a trustee who may have defected on them. We found that for investors in the non-social group, the opportunity to punish a trustee worked to promote trust, but only when the trustee was a …

Exploring Investor Attention In Financial Models, Anna Rodier

Honors Projects in Finance

The purpose of this study is to investigate whether stock prices are influenced by investor attention and how this, in turn, can be used to better advise the financial decisions of the everyday investor. Using weekly adjusted close data, weekly traded volumes, and weekly company searches using Google Trends, I tested my hypothesis that including the frequency of company searches, found through consumers using Google, in financial models will help better predict stock returns. Using S&P 500 company data from February 2012 to February 2017, frequency is a better predictor of price in comparison to trading volumes. But, to maximize …

Greek Life: Perceptions On Campus And In The Workplace, Elena Freedman

Honors Projects in Applied Psychology

The purpose of this study was to determine perceptions of Greek students by four specific groups of people: undergraduate Greek students, undergraduate students who are not members of Greek organizations, Greek alumni, and hiring personnel. In addition, hiring professionals’ opinions and perceptions of Greek students were further explored to determine whether membership in a Greek organization is seen as an asset or a liability in the workforce. Attained or expected skills as a result of membership in a Greek organization were also elicited from Greek students, Greek alumni, and hiring personnel. Data analysis of stereotype responses showed that Greek students …

The Impact Of New Product Announcements On Quick Service Restaurant Companies’ Stock Returns, Tim Drechsler-Martell

Honors Projects in Finance

This study seeks to answer two main questions: 1) Do product announcements impact quick service restaurant stock returns? 2) Do economic conditions impact the degree which product announcements impact quick service restaurant stock returns? 159 total product announcements were collected for 6 quick service companies: McDonald’s Corp., YUM! Brands Inc., The Wendy’s Co., AFC Enterprises Inc., Jack in the Box Inc., and Sonic Corp. 84 of these announcements were from 2005-2007 (Labeled “Pre-Recession”), and 75 were from 2009-2011 (Labeled “Post-Recession”). Using historical stock price data, an analysis of the overall trends of the mean-adjusted excess returns was conducted to determine …

The Causal Effect Of Market Priming On Trust: An Experimental Investigation Using Randomized Control, Omar Al-Ubaydli, Daniel E. Houser, John Nye, Maria Pia Paganelli, Xiaofei Pan

Economics Faculty Journal Articles

We report data from laboratory experiments where participants were primed using phrases related to markets and trade. Participants then participated in trust games with anonymous strangers. The decisions of primed participants are compared to those of a control group. We find evidence that priming for market participation affects positively the beliefs regarding the trustworthiness of anonymous strangers and increases trusting decisions.

The Evolution Of The “Southwest Effect”, Daniel Webb

Honors Projects in Finance

The “Southwest effect” - a large decrease in fares paired with an increase in traffic - has been discussed around the airline industry since the term was first coined in a government study in the early 1990s. But the airline industry has drastically changed since then - Southwest has become the largest domestic airline, and many of its competitors have had the chance to restructure through bankruptcy.

This study examines some of Southwest's latest city additions, as well as a few of the airline’s intra-California routes where it is now a dominant player. Using publically-available government data, the change in …

The Influence Of Childhood Poverty On Life Chances- The Case Of Academic Performance, Katherine Mccabe

Honors Projects in History and Social Sciences

The purpose of this research is to explore, identify, and address how children who grow up in poverty face greater challenges in adulthood than those who grow up nonpoor. The two main areas of interest are the differentials of child well-being and school achievement. The daily hardships that poor children face include inadequate nutrition, fewer learning experiences, instability of residence, lower quality schools, exposure to environmental toxins, family violence, homelessness, dangerous streets, and less access to friends, services, and jobs. Through a literature review and analyses of a national probability data set on high school students, I demonstrate how growing …

Competition For Trophies Triggers Male Generosity, Xiaofei Sophia Pan, Daniel E. Houser

Economics Faculty Journal Articles

Background

Cooperation is indispensable in human societies, and much progress has been made towards understanding human pro-social decisions. Formal incentives, such as punishment, are suggested as potential effective approaches despite the fact that punishment can crowd out intrinsic motives for cooperation and detrimentally impact efficiency. At the same time, evolutionary biologists have long recognized that cooperation, especially food sharing, is typically efficiently organized in groups living on wild foods, even absent formal economic incentives. Despite its evident importance, the source of this voluntary compliance remains largely uninformed. Drawing on costly signaling theory, and in light of the widely established competitive …

Major League Baseball: America’S Recession-Proof Pastime, Mark Mcdonnell

Honors Projects in Finance

This project is a study which examines how attendance levels in Major League Baseball stadiums have been impacted by the current recession in the United States which began in October 2007. Research on attendance during past recessions has shown a strong relationship that during downtrends in the economy, baseball attendance levels generally do not suffer. Using an ordinary least squares regression, independent variables including; percent change in ticket price from previous season, distance to closest competitor, percent change in ticket price of the closest competitor, winning percentage during previous year, winning percentage during current year, unemployment rate during current year, …