Gneezy-Peck Experiment

The Gneezy-Peck experiment investigates how financial incentives influence honesty. Participants are asked to solve a task (like rolling dice secretly) and report their results, which determine their reward. Since they can cheat to increase their earnings without detection, the experiment examines whether offering monetary bonuses encourages more dishonesty. Findings show that small incentives often lead to increased cheating, while larger bonuses may discourage dishonesty, suggesting that the size of incentives impacts ethical behavior. The study sheds light on the complex relationship between motivation and honesty in decision-making.