Emotion Expression and Fairness in Economic Exchange
AbstractResearch in economics and psychology has established that informal sanctions,particularly expressions of negative emotion, can enforce fair economic exchange. However, scholars are only beginning to understand the reasons informal sanctions affect economic outcomes. Here we provide direct empirical evidence that a preference to avoid negative emotion expression plays an important role in promoting fair exchange. We study one-shot Dictator games, where one subject has the right to determine a division of an amount of money between herself and her receiver. In relation to the standard game, there are significantly less profit-maximizing offers when receivers can react to offers with ex post written messages. Our data provide new perspectives on roles communication systems play in promoting economic efficiency in social environments, and support economic theories of decision that incorporate psychological factors such as guilt and self-deception.
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Bibliographic InfoPaper provided by George Mason University, Interdisciplinary Center for Economic Science in its series Working Papers with number 1004.
Length: 32 pages
Date of creation: Nov 2007
Date of revision: Nov 2007
emotions; fairness; ultimatum games;
Find related papers by JEL classification:
- C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
- D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-08-06 (All new papers)
- NEP-CDM-2008-08-06 (Collective Decision-Making)
- NEP-EXP-2008-08-06 (Experimental Economics)
- NEP-POL-2008-08-06 (Positive Political Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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