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Promoting Competition or Helping the Less Endowed? Distributional Preferences and Collective Institutional Choices under Intragroup Inequality

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  • Kenju Kamei

Abstract

Unequally distributed resources are ubiquitous. The decision of whether to promote competition or equality is often debated in societies and organizations. With heterogeneous endowments, we let subjects collectively choose between a public good that most benefits the less endowed and a lottery contest in which only one individual in a group receives a prize. Unlike standard theoretical predictions, the majority of subjects, including a substantial number of subjects who believe that their expected payoffs are better in the contest, vote for the public good. Our data suggest that people’s collective institutional choices may be driven by inequality-averse concerns. It also suggests that the collective decision to select the option for the public good depends on voting rules.

Suggested Citation

  • Kenju Kamei, 2018. "Promoting Competition or Helping the Less Endowed? Distributional Preferences and Collective Institutional Choices under Intragroup Inequality," Journal of Conflict Resolution, Peace Science Society (International), vol. 62(3), pages 626-655, March.
    • Handle: RePEc:sae:jocore:v:62:y:2018:i:3:p:626-655
    DOI: 10.1177/0022002716656446
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    References listed on IDEAS

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    5. Kenju Kamei & Louis Putterman & Jean-Robert Tyran, 2015. "State or nature? Endogenous formal versus informal sanctions in the voluntary provision of public goods," Experimental Economics, Springer;Economic Science Association, vol. 18(1), pages 38-65, March.
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    Cited by:

    1. Kenju Kamei, 2022. "Self-Regulatory Resources and Institutional Formation: A First Experimental Test," Keio-IES Discussion Paper Series 2022-014, Institute for Economics Studies, Keio University.
    2. Kamei, Kenju & Ashworth, John, 2023. "Peer learning in teams and work performance: Evidence from a randomized field experiment," Journal of Economic Behavior & Organization, Elsevier, vol. 207(C), pages 413-432.
    3. DeAngelo, Gregory J. & Dubois, Dimitri & Romaniuc, Rustam, 2020. "The perils of democracy," Journal of Economic Behavior & Organization, Elsevier, vol. 175(C), pages 328-340.
    4. Rustam Romaniuc & Dimitri Dubois & Gregory J. DeAngelo & Bryan C. McCannon, 2016. "Intergroup Solidarity and Local Public Goods Provision : An Experiment," Working Papers 16-11, LAMETA, Universtiy of Montpellier.

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