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Directed Generosity and Network Formation: Network Dimension Matters

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  • D'Exelle, Ben

    ()
    (University of East Anglia)

  • Riedl, Arno

    ()
    (Maastricht University)

Abstract

We explore network effects on generosity for different network dimensions. To this end we elicit multiple network dimensions (friendship, social support, economic exchange, etc.) in a rural village in the Southern hemisphere and measure generosity with a sequence of dictator games conducted in the field. We find that networks of different dimensions differ substantially in density, clustering, and centrality. When relating generosity to networks we observe that social distance only matters for friendship ties but that structural network variables are important in all network dimensions. Importantly, these effects are not invariant across different network dimensions. We also find that individual characteristics are unrelated with generosity per se but that they have strong explanatory power for network formation.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5356.

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Length: 46 pages
Date of creation: Dec 2010
Date of revision:
Handle: RePEc:iza:izadps:dp5356

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Keywords: networks; generosity; network formation; experiments;

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Cited by:
  1. Binzel, Christine & Fehr, Dietmar, 2013. "Giving and Sorting among Friends: Evidence from a Lab-in-the-Field Experiment," IZA Discussion Papers 7516, Institute for the Study of Labor (IZA).
  2. Binzel, Christine & Fehr, Dietmar, 2013. "Social distance and trust: Experimental evidence from a slum in Cairo," Journal of Development Economics, Elsevier, Elsevier, vol. 103(C), pages 99-106.

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