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Institutions are the result of many individual decisions making processes. Institutional change, hence, depends on how people learn to make choices and filter information concerning the behavior of others. Social psychology, defines learning processes as the result of the interplay between external sources of influence and self-efficacy perceptions, i.e. the beliefs people hold on their own capabilities to implement changes and control contingencies. In this paper we investigate whether and how self-efficacy levels affect learning processes thus the evolution of institutions. We propose an experimental task, which is a modified version of the common two-armed bandit with finite time horizon. In treatment one, we will measure individual learning processes. In treatment two, we will measure how individuals use the information they gather observing a randomly selected group leader. In treatment three, individuals observe both the behavior of the leader and the majority of the group members, hence addressing the tradeoff between mimesis and group conformity. Additionally, subjects will be presented with two questionnaires to measure their self-efficacy and problem solving abilities.
