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The Persistent Effect of Competition on Prosociality

Author

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  • Kosse, Fabian

    (University of Würzburg)

  • Rajan, Ranjita

    (The Karta Initiative)

  • Tincani, Michela M.

    (University College London)

Abstract

We present the first causal evidence on the persistent impact of enduring competition on prosociality. Inspired by the literature on tournaments within firms, which shows that competitive compensation schemes reduce cooperation in the short-run, we explore if enduring exposure to a competitive environment persistently attenuates prosociality. Based on a large-scale randomized intervention in the education context, we find lower levels of prosociality for students who just experienced a 2-year competition period. 4-year follow-up data indicate that the effect persists and generalizes, suggesting a change in traits and not only in behavior.

Suggested Citation

  • Kosse, Fabian & Rajan, Ranjita & Tincani, Michela M., 2023. "The Persistent Effect of Competition on Prosociality," IZA Discussion Papers 16595, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp16595
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    References listed on IDEAS

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    More about this item

    Keywords

    prosociality; competition; cooperation; social skills; socio-emotional skills; tournaments; comparative pay; incentive schemes;
    All these keywords.

    JEL classification:

    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments

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