This experimental research delves into the intricate connection between corruption, the decision-making process, and collaborative behavior. We employ the robust framework of game theory to gain insights into this critical issue. Given the widespread presence of corruption in various societal realms, comprehending how it influences human actions is of paramount significance. Through a series of strategic scenarios and simulations, we explore how the introduction of corrupt elements disrupts conventional cooperation models and shapes the choices individuals make. Our findings highlight the extensive repercussions of corruption, not only in eroding trust but also in guiding decision-makers toward less-than-optimal outcomes. This study provides valuable insights into the intricate interplay of corruption and rational decision-making, offering a clearer understanding of how corruption corrodes ethical behavior and cooperative endeavors. It underscores the urgency of addressing corruption as a fundamental factor in decision-making and collaboration, transcending various contexts and domains.

1. “ E X A M I N I N G T H E I N F L U E N C E O F
C O R R U P T I O N O N D E C I S I O N - M A K I N G A N D
C O L L A B O R AT I O N . A N E X P E R I M E N TA L S T U D Y
U S I N G G A M E T H E O RY.”
Written by:
Ahmad Siar ”Nazeri”
Supervised by:
Dr. Christoph Bühren”,
Blanca Tena Estrada (Research assistant)

2. CONTENTS
Introduction
General Background
Literature review
Findings
Conclusion
Reference

3. INT RODUCT ION
• Corruption is a pervasive problem that
hinders economic growth, erodes public
trust, and undermines fairness in
decision-making.
• Our study aims to understand how
corruption influences decision-making
and collaboration.

4. RESEARCH QUESTION
How does the existence of corruption
impact the processes of decision-making
and collaboration?

5. HYPOTHESIS
5
1. Individuals subjected to a corrupt environment are equally likely to engage in unethical decision-
making compared to those in an environment without corruption.
2. In a corrupt environment, the level of cooperation among participants is expected to be lower in
comparison to an environment free from corruption.
3. In a corrupt environment, there will be a notable decrease in the perception of fairness and
trustworthiness when compared to a non-corrupt environment.

6. DEPENDENT AND
INDEPENDENT
VARIABLES
6
1. Dependent Variable:
the processes of decision-making and collaboration. It refers to how participants make decisions and
cooperate with each other within the experimental setting.
2. Independent Variables:
Existence of Corruption: This variable represents the presence or absence of corruption in the
experimental environment.

7. M E T H O D O L O G Y
7
o Ultimatum Game: Proposers made
offers to responders who could
accept or reject the offers.
o Questionnaire: Participants
provided insights into their
perception of corruption, fairness,
and trustworthiness.

8. EXPERIMENTAL
SETTING
8
Participants Students of university of Kassel, Different
Backgrounds.
Roles Participants are randomly grouped as proposer
and responder, and randomly paired. Each
participant
Game setup Proposers are given 2 euro to divide among the
m and the responders
Offers and Decisions The proposer: make offers to the responder on
how to split the allocated amount.
The responders: Have the right to accept of reject.

9. EXPERIMENTAL
SETTING
9 Acceptance and rejection Responder accepts: Money will be divided
Responder Reject: No one will get money
Data collection Responses of both proposers and responders with the
offered amount, and information from the
questionnaire.
Questionnaires Participants also complete questionnaires related to their
perceptions of corruption, fairness, trustworthiness, and
personal experiences with corruption in their
communities.
Data Analysis The collected data from the Ultimatum Game and
questionnaires are analyzed to determine patterns,
trends, and statistical significance regarding the
influence of corruption on decision-making and
collaboration.

10. E C O N O M E T
R I C
M O D E L
10
To estimate the relationship between corruption and decision-
making/collaboration,
you can use logistic regression analysis for the unethical decision-
making variable,
and linear regression analysis for the cooperation level
and perception of fairness/trustworthiness variables.

11. C O N T R O L
V A R I A B L E S
11
Variable Type Categories/Scale
Gender Categorical Male, Female, Other
Age Numeric Participants' age
Nationality Categorical German and non German
Perception of Corruption Ordinal 1 (Strongly Disagree) to 5 (Strongly Agree)
Corruption as an obstacle Ordinal 1 (Strongly Disagree) to 5 (Strongly Agree)
Effectiveness of anti-corruption Ordinal 1 (Strongly Disagree) to 5 (Strongly Agree)
Government action against
corruption Ordinal 1 (Strongly Disagree) to 5 (Strongly Agree)
Corruption undermines trust Ordinal 1 (Strongly Disagree) to 5 (Strongly Agree)
Likelihood of engaging in corrupt
act Ordinal 1 (Very Unlikely) to 5 (Very Likely)
Personal experience with
corruption Categorical Yes, No
Willingness to cooperate Ordinal 1 (Very Unlikely) to 5 (Very Likely)
Trust in others' intentions Ordinal 1 (Very Low) to 5 (Very High)
Willingness to report corruption Categorical Yes, under certain circumstances, No, Unsure
Likelihood of prioritizing benefit Ordinal 1 (Very Unlikely) to 5 (Very Likely)
Overall level of trust Ordinal 1 (Very Low) to 5 (Very High)
Perception of fairness in society Ordinal 1 (Not Fair at all) to 5 (Very Fair)
Likelihood of corruption
influencing Ordinal 1 (Very Unlikely) to 5 (Very Likely)
Familiarity with corruption Ordinal
Not Familiar at All, Somewhat Familiar, Moderately Familiar,
Very Familiar

12. LITERATURE REVIEW
12
o Opportunism represents the substantial threat of experiments to build on regular (non-
corrupt)games of reciprocity.
o Experimental investigations on corruption represent a rather novel area of research
o Bribing versus Gift-giving, Johann Graf Lambsforff, Bijorn Frank., 2010

13. LITERATURE REVIEW
13
Ethical and legal
perspectives
Offering Incentives
Unethical
Undermine fairness,integrity
and trust
Motivation and
intentions
Self interest
Effects
Negative effects
social and cultural
influences
Research gap
Inaccurate data
Contextual differences
Comparative analysis

14. LITERATURE REVIEW
14
o Corruption experiments based on the ultimatum game are those that are essentially trust (or gift
exchange) game where players can jointly profit by exhibiting trust and sending money to each
other.
o Gift Giving and Corruption, Adam Graycar &David Jancsics, 2017
o Gifts and bribes, Robert Klitgaard, 1991
o For experiments, collect data to run our experiments based on gender and implementing
classical ultimatum game.

15. INFLUENCE OF CORRUPTION
ON DECISION-MAKING
15
o Offers of 2 euros or higher were generally accepted by responders.
o Offers of 1.5 euros or lower were consistently rejected, indicating an unwillingness to accept unfair
offers.
o The presence of corruption (represented by low or unfair offers) influenced decision-making in the
game.

16. 16

17. 17

18. INFLUENCE OF CORRUPTION
ON COLLABORATION
18
o Rejection of low or unfair offers indicated a decrease in collaboration when faced with corruption.
o Responders demonstrated a preference for fair offers, reluctance to collaborate in corrupt situations.

19. PERCEPTION OF FAIRNESS
AND TRUSTWORTHINESS
19
o Questionnaire responses indicated that corruption is seen as a pervasive problem in society.
o Participants agreed that corruption hinders economic growth, erodes public trust, and influences
decision-making and collaboration.
o Majority believed society is unfair and expressed low levels of trust in others.

20. 20
Corruption is a pervasive issue in our
society.please rate your perception
Corruption acts as an obstacle to the
advancement of economic growth and
development
Anti corruption measures work in
reducing corruption
The government takes sufficient action
to combat corruption
Corruption undermines public trust in
institutions
In a hyp situation where you presented
with the chance to engage in a corrupt
act for personal benefit,what liklihood
that you choose?
Would you cooperate with others in
a group activity if there is a risk of
corruption if you witnessed them?
In a context where corruption is
widespread,what is the likelihood of
you trusting others intentions ans
perceiving their actions as fair?

21. 21
Imagine you are participating in a
game where you make decisions that
can either benefit you individually or
benefit both you and your
partner.how likelly prioritize?
How would you rate rate overall level
of trust in other people?please rate
In your opinion;how fair do you believe
society in general?please rate
How likly do you think corruption
influnces decision making and
collaboration among individuals?
How familiar are you with the concept
of corruption?
Have you ever personally witnessed
corrupton in your environment?

22. CONCLUSION
22
o Individuals subjected to a corrupt environment are not equally but more prone to engaging in
unethical decision-making.
o Collaboration decreases in the presence of corruption.
o Corruption decreases the perception of fairness and trustworthiness in society.

23. IMPLICATIONS
23
o Effective anti-corruption initiatives and government efforts are crucial to combat corruption.
o Promoting transparency, integrity, and ethical decision-making can foster a just and collaborative
society.

24. REFERENCES
24
o Aidt, T. S. (2011). The causes of corruption. CESifo DICE Reort 2/2011, pp. 15-19
o Ajzen, I. (1991). The Theory of Planned Behaviour. Organisational Behaviour and Human Decision Process, 179- 211.
o Andrei, T., Matei, A., & Rosca, I. G. (2009). The Corruption: And Economic and Social Analysis. Editura Economica.
o Bagozzi, R. P
., Dholakia, U., & Basuroy, S. (2003). How Effortful Decision Get Enacted: The Motivating Role of Decision
Processes, Desires and Anticipated Emotions. Joournal of Behavioural Decision Making, 273-295.

25. T H A N K YO U F O R YO U R AT T E N T I O N !
W E W E LC O M E A N Y Q U E S T I O N S O R
C O M M E N T S YO U M AY H AV E .