... experiment. Managers become less honest after seeing a less honest peer (the rotten apple effect) and more honest after seeing a more honest peer (the sterling example effect). We measure the sensitivity to social norms by the Maintaining Norms Schema score generated from the responses to the Defining Issue...

... with recent economic theory incorporating social norms such as the norm of promise-keeping. Data Availability: The experimental data used in this paper are available from the authors upon request. We thank Ramji Balakrishnan (editor), Geoff Sprinkle (associate editor), and two anonymous reviewers...