Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/94056 
Year of Publication: 
2005
Series/Report no.: 
SFB/TR 15 Discussion Paper No. 56
Publisher: 
Sonderforschungsbereich/Transregio 15 - Governance and the Efficiency of Economic Systems (GESY), München
Abstract: 
In this paper we analyze the frequently observed phenomenon that (i) some members of a team ('black sheep') exhibit behavior disliked by other (honest) team members, who (ii) nevertheless refrain from reporting such misbehavior to the authorities (they set up a 'wall of silence'). Much cited examples include hospitals and police departments. In this paper, these features arise in equilibrium. An important ingredient of our model are benefits that agents receive when cooperating with each other in a team. Our results suggest that teams in which the importance of these benefits varies across team members are especially prone to the above mentioned phenomenon.
Subjects: 
teams
misbehavior
wall of silence
asymmetric information
JEL: 
D82
C73
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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