Peer effects on restaurant tipping in Norway: An experimental approach

Christer Thrane and Erik Haugom

Journal of Economic Behavior & Organization, 2020, vol. 176, issue C, 244-252

Abstract: Research shows that many factors affect restaurant patrons’ tipping behavior. In this study from Norway, we use an experimental approach to examine a new factor: the influence of peers. We show that the tipping behavior of dining companions – i.e. peers – affects restaurant patrons’ likelihood of providing a tip as well as their provided tip amounts. We interpret this as a form of social pressure enforcing a weak Norwegian tipping norm. The size of the bill and perceived service quality also affect tipping behavior and moderate the peer effects (i.e. effect heterogeneity). We conclude that peer effects might play an important role in future tipping research focusing on the determinants of individual tipping practices.

Keywords: Tipping behavior; Stiffing; Experiment; Peer effects; Bill size; Service quality (search for similar items in EconPapers)
JEL-codes: C9 D12 M52 (search for similar items in EconPapers)
Date: 2020
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Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jeborg:v:176:y:2020:i:c:p:244-252

DOI: 10.1016/j.jebo.2020.04.010

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