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Elicited Beliefs and Social Information in Modified Dictator Games: What Do Dictators Believe Other Dictators Do?

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  • Nagore Iriberri
  • Pedro Rey-Biel

Abstract

We use subjects actions in modified dictator games to perform a within-subject classification of individuals into four different types of interdependent preferences: Selfish, Social Welfare maximizers, Inequity Averse and Competitive. We elicit beliefs about other subjects actions in the same modified dictator games to test how much of the existent heterogeneity in others actions is known by subjects. We find that subjects with different interdependent preferences in fact have different beliefs about others actions. In particular, Selfish individuals cannot conceive others being non-Selfish while Social Welfare maximizers are closest to the actual distribution of others actions. We finally provide subjects with information on other subjects actions and re-classify individuals according to their (new) actions in the same modified dictator games. We find that social information does not affect Selfish individuals, but that individuals with interdependent preferences are more likely to change their behavior and tend to behave more selfishly.

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Bibliographic Info

Paper provided by Barcelona Graduate School of Economics in its series Working Papers with number 405.

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Date of creation: Jan 2009
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Handle: RePEc:bge:wpaper:405

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Keywords: interdependent preferences; social welfare maximizing; inequity aversion; belief elicitation; social information; experiments; mixture-of-types models;

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Citations

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Cited by:
  1. Duffy, John & Kornienko, Tatiana, 2010. "Does competition affect giving?," Journal of Economic Behavior & Organization, Elsevier, Elsevier, vol. 74(1-2), pages 82-103, May.
  2. Werner Güth & M. Levati & Matteo Ploner, 2012. "An experimental study of the generosity game," Theory and Decision, Springer, Springer, vol. 72(1), pages 51-63, January.
  3. Ismael Rodriguez-Lara & Pablo Brañas-Garza, 2012. "Expected Behavior and Strategic Sophistication in the Dictator Game," Discussion Papers in Economic Behaviour, University of Valencia, ERI-CES 0412, University of Valencia, ERI-CES.
  4. Uwe Dulleck & David Johnston & Rudolf Kerschbamer & Matthias Sutter, 2012. "The Good, the Bad and the Naive: Do fair prices signal good types or do they induce good behaviour?," NCER Working Paper Series, National Centre for Econometric Research 81, National Centre for Econometric Research.
  5. Ockenfels, Axel & Werner, Peter, 2014. "Scale manipulation in dictator games," Journal of Economic Behavior & Organization, Elsevier, Elsevier, vol. 97(C), pages 138-142.
  6. Nagore Iriberri & Pedro Rey-Biel, 2009. "The Role of Role Uncertainty in Modified Dictator Games," Working Papers 406, Barcelona Graduate School of Economics.
  7. Anna Conte & M. Vittoria Levati, 2011. "Use of data on planned contributions and stated beliefs in the measurement of social preferences," Jena Economic Research Papers, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics 2011-039, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics.
  8. Levati, M. Vittoria & Nicholas, Aaron & Rai, Birendra, 2014. "Testing the single-peakedness of other-regarding preferences," European Economic Review, Elsevier, Elsevier, vol. 67(C), pages 197-209.
  9. Pelligra, Vittorio & Stanca, Luca, 2013. "To give or not to give? Equity, efficiency and altruistic behavior in an artefactual field experiment," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, Elsevier, vol. 46(C), pages 1-9.
  10. Dominik Erharter, 2012. "Credence goods markets, distributional preferences and the role of institutions," Working Papers, Faculty of Economics and Statistics, University of Innsbruck 2012-11, Faculty of Economics and Statistics, University of Innsbruck.
  11. Güth, Werner, 2010. "The Generosity Game and calibration of inequity aversion," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, Elsevier, vol. 39(2), pages 155-157, April.

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