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How Robust is Laboratory Gift Exchange?

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  • Gary Charness
  • Guillaume R. Frechette
  • John H. Kagel

    ()

Abstract

The gift-exchange game is a form of sequential prisoner's dilemma, developed by Fehr et al. (1993), and popularized in a series of papers by Ernst Fehr and co-authors. While the European studies typically feature a high degree of gift exchange, the few U.S. studies provide some conflicting results. We find that the degree of gift exchange is surprisingly sensitive to an apparently innocuous change--whether or not a comprehensive payoff table is provided in the instructions. We also find significant and substantial time trends in responder behavior.

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Bibliographic Info

Article provided by Springer in its journal Experimental Economics.

Volume (Year): 7 (2004)
Issue (Month): 2 (06)
Pages: 189-205

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Handle: RePEc:kap:expeco:v:7:y:2004:i:2:p:189-205

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Web page: http://www.springerlink.com/link.asp?id=102888

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  1. Georg Kirchsteiger & Ernst Fehr & Arno Riedl, 1993. "Does Fairness Prevent Market Clearing? An Experimental Investigation," ULB Institutional Repository 2013/5927, ULB -- Universite Libre de Bruxelles.
  2. Pereira, Paulo T. & Silva, Nuno & Silva, Joao Andrade e, 2006. "Positive and negative reciprocity in the labor market," Journal of Economic Behavior & Organization, Elsevier, vol. 59(3), pages 406-422, March.
  3. Akerlof, George A, 1982. "Labor Contracts as Partial Gift Exchange," The Quarterly Journal of Economics, MIT Press, vol. 97(4), pages 543-69, November.
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