Measuring Group Cohesion to Reveal the Power of Social Relationships in Team Production

Simon Gächter, Chris Starmer and Fabio Tufano
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Simon Gächter: University of Nottingham, IZA Bonn, and CESifo Munich
Chris Starmer: University of Nottingham
Fabio Tufano: University of Leicester

The Review of Economics and Statistics, 2025, vol. 107, issue 2, 539-554

Abstract: We introduce group cohesion to study the economic relevance of social relationships in team production. We operationalize measurement of group cohesion, adapting the “oneness scale” from psychology. A series of experiments, including a preregistered replication, reveals strong, positive associations between group cohesion and performance assessed in weak-link coordination games, with high-cohesion groups being likely to achieve superior equilibria. In exploratory analysis, we identify beliefs rather than social preferences as the primary mechanism through which factors proxied by group cohesion influence group performance. Our evidence provides proof of concept for group cohesion as a useful tool for economic research and practice.

Date: 2025
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