Does Character Matter When Everyone Cheats? Peer Influence and Environmental Drivers of Academic Misconduct

ABSTRACT This study examines academic dishonesty among university students, focusing on peer influence, detection risk, effort, and sanctions in proctored online and offline exams. Drawing on 259 survey responses collected from German universities after the COVID‐19‐driven transition to online formats, it applies a utility‐based framework, combined with Probit and Logit regressions. The findings robustly demonstrate that perceived peer cheating is the most significant determinant, significantly elevating individual cheating likelihood by reducing perceived detection risks, thereby normalizing dishonest behavior. Although self‐reported cheating is more common in online settings, the analysis shows that it is weak enforcement and lower monitoring, rather than the exam format itself, that elevate misconduct. Students who dedicate substantial preparation time or hold strong ethical convictions are less likely to cheat, while sanctions prove ineffective unless coupled with a credible probability of detection. By quantifying these drivers in a controlled academic setting, this study provides fresh insights into how peer contagion, detection risk, and contextual factors interact to shape dishonest behavior. The results underscore the need for robust proctoring, clear sanction policies, and efforts to strengthen social norms, particularly as online and hybrid assessments continue to expand.