
Very Bad Wizards Episode 90: Of Mice and Morals
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May 25, 2016 A heated debate over a provocative proposal to randomly allocate babies and whether that thought experiment exposes genetic chauvinism. A shocking study where people could earn money by letting mice be killed sparks a discussion about how markets can erode moral choices. They tease mechanisms like diffusion of responsibility, norm signaling, and real-world policy implications.
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David's Childhood Mouse Trauma
- David Pizarro describes a childhood mouse infestation and a traumatic broom encounter that fueled a lasting mouse phobia.
- He recounts being eye-to-eye with a mouse and feeling a life-or-death panic that still shapes his reactions.
Markets Erode Moral Restraints In Lab Trade
- Introducing market exchange shifts moral judgment and increases willingness to harm a mouse for money.
- Falk and Szech's lab showed individual acceptance 46% vs bilateral market 72% and multilateral up to 76%, a large market effect.
Why Markets Make Immoral Choices Easier
- Multiple psychological mechanisms explain the market effect: diffusion of responsibility, norm information, and inevitability thinking.
- Markets signal others' willingness, diffuse blame, and let individuals reason "it will happen anyway" and benefit.



