335. Does Doing Good Give You License to Be Bad?

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  • CSR: Corporate Social Responsibility
  • Want to study if consumers respond to CSR
  • Create a firm. Set up different jobs at different salries and also publicizing different amounts of CSR
    • Can increase applicant pool by the same amount as a 25% increase in salary, $11 to $15
  • Moral licensing is using CSR to justify doing bad stuff
  • Can even justify when they could have done something bad but they didn’t
  • Tax forms: remind people of charitable donations right next to their self reported income!