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Fairness Versus Efficiency - An Experimental Study of (Mutual) Gift Giving -

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  • Werner Güth
  • Hartmut Kliemt
  • Axel Ockenfels

Abstract

Retributive responses do play a role in human behavior. Whether they are primarily triggered by supposed intentions or by observed consequences of actions is an important question. It can be addressed by experimental studies of retributive responses in situations in which the individual actor may inflict harmful consequences without intending and intend harmful consequences without inflicting them. Our experimental results indicate that retributive responses are more strongly influenced by observed consequences than by ascribed intentions. However, individual retributive motivations seem to be overshadowed by concerns that are non-retributive altogether in that they focus on end state distributions independently of who brought them about.

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Bibliographic Info

Paper provided by Max Planck Institute of Economics, Strategic Interaction Group in its series Papers on Strategic Interaction with number 2002-40.

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Length: 20 pages
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Handle: RePEc:esi:discus:2002-40

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Related research

Keywords: Fairness; Efficiency; reciprocity; Experimental Economics;

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References

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  1. James Andreoni, 2001. "Giving According to GARP," Theory workshop papers 339, UCLA Department of Economics.
  2. Dirk Engelmann & Martin Strobel, 2004. "Inequality Aversion, Efficiency, and Maximin Preferences in Simple Distribution Experiments," American Economic Review, American Economic Association, vol. 94(4), pages 857-869, September.
  3. Gary Charness & Matthew Rabin, 1999. "Social preferences: Some simple tests and a new model," Economics Working Papers 441, Department of Economics and Business, Universitat Pompeu Fabra, revised Jan 2000.
  4. Fehr, Ernst & Schmidt, Klaus M., 1998. "A Theory of Fairness, Competition and Cooperation," CEPR Discussion Papers 1812, C.E.P.R. Discussion Papers.
  5. Axel Ockenfels & Gary E. Bolton, 2000. "ERC: A Theory of Equity, Reciprocity, and Competition," American Economic Review, American Economic Association, vol. 90(1), pages 166-193, March.
  6. Gary E. Bolton & Rami Zwick & Elena Katok, 1998. "Dictator game giving: Rules of fairness versus acts of kindness," International Journal of Game Theory, Springer, vol. 27(2), pages 269-299.
  7. Selten, Reinhard & Ockenfels, Axel, 1998. "An experimental solidarity game," Journal of Economic Behavior & Organization, Elsevier, vol. 34(4), pages 517-539, March.
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Citations

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Cited by:
  1. Daruvala, Dinky, 2006. "Would The Right Social Preference Model Please Stand Up!," Working Papers in Economics 210, University of Gothenburg, Department of Economics.
  2. Daruvala, Dinky, 2010. "Would the right social preference model please stand up!," Journal of Economic Behavior & Organization, Elsevier, vol. 73(2), pages 199-208, February.
  3. Martin Beckenkamp & Heike Hennig-Schmidt & Frank P. Maier-Rigaud, 2007. "Cooperation in Symmetric and Asymmetric Prisoner's Dilemma Games," Working Paper Series of the Max Planck Institute for Research on Collective Goods 2006_25, Max Planck Institute for Research on Collective Goods.
  4. Todd L. Cherry & Stephan Kroll & Jason Shogren, 2004. "The Impact of Endowment Heterogeneity and Origin on Contributions in Best-Shot Public Good Games," Working Papers 04-10, Department of Economics, Appalachian State University.
  5. Werner Güth & Kurt-Dieter Koschmieder & M. Vittoria Levati & Ev Martin, 2005. "How to Preserve a Fortune: An Experimental Comparison of Foundations and Direct Transfers to the Heir," Papers on Strategic Interaction 2005-33, Max Planck Institute of Economics, Strategic Interaction Group.
  6. Fehr, Ernst & Schmidt, Klaus M., 2005. "The Economics of Fairness, Reciprocity and Altruism – Experimental Evidence and New Theories," Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems 66, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
  7. Fehr, Ernst & Schmidt, Klaus M., 2001. "Theories of Fairness and Reciprocity," Discussion Papers in Economics 14, University of Munich, Department of Economics.
  8. Dai, Chifeng, 2009. "The appeals process in principal-agent relationships," Journal of Economic Behavior & Organization, Elsevier, vol. 71(2), pages 451-462, August.
  9. Marco Faravelli, 2005. "Looking for Agreement: an Experiment on Distributive Justice," Working Papers 92, University of Milano-Bicocca, Department of Economics, revised Oct 2005.
  10. Chmura, Thorsten & Kube, Sebastian & Pitz, Thomas & Puppe, Clemens, 2005. "Testing (beliefs about) social preferences: Evidence from an experimental coordination game," Economics Letters, Elsevier, vol. 88(2), pages 214-220, August.
  11. Staffiero, Gianandrea, 2006. "Helping the meaner, hurting the nicer: The contribution versus distribution game," IESE Research Papers D/652, IESE Business School.
  12. Friedel Bolle & Yves Breitmoser & Jana Heimel & Claudia Vogel, 2012. "Multiple motives of pro-social behavior: evidence from the solidarity game," Theory and Decision, Springer, vol. 72(3), pages 303-321, March.
  13. Bolton, Gary E. & Katok, Elena & Ockenfels, Axel, 2005. "Cooperation among strangers with limited information about reputation," Journal of Public Economics, Elsevier, vol. 89(8), pages 1457-1468, August.
  14. Wu, Steven Y. & Roe, Brian E., 2004. "Tournaments, Risk Perceptions, And Fairness," 2004 Annual meeting, August 1-4, Denver, CO 20154, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  15. Gary E. Bolton & Axel Ockenfels, 2004. "The Behavioral Tradeoff between Efficiency and Equity when a Majority Rules," Papers on Strategic Interaction 2003-12, Max Planck Institute of Economics, Strategic Interaction Group.

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