Working Paper
Denied by an (Unexplainable) Algorithm: Teleological Explanations for Algorithmic Decisions Enhance Customer Satisfaction
Dec 29, 2020
Uses a field experiment with a technology firm and several online lab experiments to demonstrate when mechanistic (“how”) and teleological (“why”) explanations can enhance customer satisfaction with algorithm-based decisions. Participants perceive teleological explanations as fair, even when an algorithm with a fair goal employs an unfair mechanism.