Neurophysiological compliance is a correlation of neurophysiological measures (synchronicity) between individuals. Higher compliance among team members is related to better performance, and higher synchronicity occurs during emotional moments of a stimulus. The aim of the current study is to examine whether synchrony may be observable via peripheral nervous system (PNS) activity. We used inter-subject correlation (ISC) analysis to assess whether synchronicity of PNS measures are related to stimulus emotionality or similarity in behavioral responses. Participants viewed a 100-second emotional video, followed by an appeal to donate experimental earnings to a related charity. We found high ISC for cardiac and electrodermal activity (EDA) between donors versus non-donors. For both groups, we found an association between ISC of cardiac activity and emotional moments in the stimulus. For non-donors we found an association between ISC of EDA and emotional moments. Our findings indicate that PNS measures yield similar results to neurophysiological measures.
Growing evidence shows that biological factors affect individual financial decisions that could be reflected in financial markets. Testosterone, a chemical messenger especially influential in male physiology, has been shown to affect economic decision making and is taken as a performance enhancer among some financial professionals. This is the first experimental study to test how testosterone causally affects trading and prices. We exogenously elevated testosterone in male traders and tested testosterone's effect both on their trading behavior in experimental asset markets and on the size and duration of asset price bubbles. Using both aggregated and individual trading data, we find that testosterone administration generated larger and longer-lasting bubbles by causing high bids and the slow incorporation of the asset's fundamental value.
Coupon use saved consumers $2.9 billion on packaged goods in 2012 with over 90 million Americans using online coupons. Besides saving money, why is coupon use so widespread? An experiment was run where participants (N = 90) shopped online and one‐half received a coupon worth $10. It was found that those who received a coupon had a 14% increase in oxytocin (OT), an 8% decrease in the stress hormone adrenocorticotropin, a 4% decrease in heart rate (HR), a 27% decrease in respiration, a 4% decrease in skin conductance levels, and a 90% increase in high‐frequency HR variability. These factors showed almost no change for those who did not receive a coupon. The findings indicate that coupons elicit physiological reactions similar to having a positive social interaction. In addition, self‐reported happiness correlated with the change in OT (r = 0.43). These findings provide new insights into why online coupon use is so pervasive.
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