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Direct Tests of Models of Social Preferences and a New Model

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Author Info
James C. Cox
Vjollca Sadiraj
Abstract

Departures from "economic man" behavior in many games in which fairness is a salient characteristic are now well documented in the experimental economics literature. These data have inspired development of new models of social preferences incorporating inequality aversion and quasi-maximin preferences. We report experiments that provide direct tests of these social preference models. Data from the experiments motivate a new model of egocentric altruism. The model rationalizes data from our direct test experiments and data from experiments with proposer competition and responder competition. We discuss generalizations of the egocentric altruism model that incorporate agentsâ?? intentions and thus provide a unified approach to modeling behavior in games both with and without reciprocal motivation.

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File URL: http://excen.gsu.edu/workingpapers/GSU_EXCEN_WP_2006-13.pdf
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Paper provided by Experimental Economics Center, Andrew Young School of Policy Studies, Georgia State University in its series Experimental Economics Center Working Paper Series with number 2006-13.

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Handle: RePEc:exc:wpaper:2006-13

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Find related papers by JEL classification:
A12 - General Economics and Teaching - - General Economics - - - Relation of Economics to Other Disciplines
A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
B49 - Schools of Economic Thought and Methodology - - Economic Methodology - - - Other
C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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