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What is fair? Experimental evidence

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Author Info
David Dickinson
J. Tiefenthaler

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Abstract

There has been growing interest within the economics discipline in the role of equity concerns in the distribution of resources. This paper presents empirical evidence from a series of controlled laboratory experiments where third-party decision-makers must allocate resources between two individuals. The experimental results indicate that subjects view a wide range of different allocations as the fair distribution of resources. However, regression analysis indicates that both treatment effects and a few demographic variables explain some of this variation in fairness concepts. Most significantly, decision-makers rewarded subjects who earned their favorable positions and the gender of the decision-maker was an important predictor of the allocation chosen.

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Paper provided by Utah State University, Department of Economics in its series Working Papers with number 2000-04.

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Length: 37 pages
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Handle: RePEc:usu:wpaper:2000-04

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Related research
Keywords: Fairness; equity; experiments;

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Find related papers by JEL classification:
D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
Z00 - Other Special Topics - - General - - - General

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  1. Robert Shelburne, 2006. "A Utilitarian Welfare Analysis of Trade Liberalization," ECE Discussion Papers Series 2006_4, UNECE. [Downloadable!]
  2. Hörisch, Hannah, 2007. "Is the veil of ignorance only a concept about risk? An experiment," Discussion Papers in Economics 1362, University of Munich, Department of Economics. [Downloadable!]
  3. Hannah Hörisch, 2008. "Is the veil of ignorance only a concept about risk? An experiment," Discussion Papers 230, SFB/TR 15 Governance and the Efficiency of Economic Systems, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich. [Downloadable!]
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