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It was a long way to this point and many people helped me to overcome one of the most challenging endeavors I have undertaken so far. First of all, I would like to thank my supervisor, Massimo Warglien, who followed me during these 4 years and provided immense support for all my initiatives. Special thanks to our secretary Lisa Negrello, who patiently dealt with my endless requests and inquiries regarding bureaucratic issues. I also want to thank Veronika Grimm, Andrea Stocchetti, Francesco Zirpoli, Anna Comac-chio, Sergio Currarini, Francesco Feri and Rudolf Kerschbamer. Shifting from the EU to Armenia, I would like to thank my family members, who provided enormous help and support in the distance of 4000 km. Last, but certainly not the least, an immense thank to my childhood friends in Armenia-Narek, Alik, Gevorg, Gevorg, Marat and Robert. It’s a great pleasure to have such amazing friends around you. ii

Thou shalt not lie (even when it hurts)

Financial support from the Deutsche Forschungsgemeinschaft, SFB 504, at the University of Mannheim, is gratefully acknowledged. We thank the two big audit firms that provided participants for our experiment for their great support. We also acknowledge the help of a small audit firm in pretests. The paper is available online at

Satisficing in sales competition:

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An economy with personal currency: theory

governance and outside director power:

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An electronic version of the paper may be downloaded • from the SSRN website: www.SSRN.com • from the RePEc website: www.RePEc.org • from the CESifo website: Twww.CESifo-group.org/wp T