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Distributional Consequences and Intentions in a Model of Reciprocity

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  • Armin Falk
  • Urs Fischbacher

Abstract

Two types of theoretic approaches have been developed to model fair behavior. According to the "equity approach" fairness is solely driven by distributional concerns. Opposed to this consequentialistic perspective, the "reciprocity approach" stresses the importance of intentions. We discuss experimental evidence that demonstrates that in fact both intentions and distributional consequences matter. In this paper, we present a formal model of reciprocity that captures both, outcomes and intentions.

Suggested Citation

  • Armin Falk & Urs Fischbacher, 2001. "Distributional Consequences and Intentions in a Model of Reciprocity," Annals of Economics and Statistics, GENES, issue 63-64, pages 111-129.
    • Handle: RePEc:adr:anecst:y:2001:i:63-64:p:111-129
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    File URL: http://www.jstor.org/stable/20076298
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    Cited by:

    1. Daniel Friedman & Nirvikar Singh, 2004. "Vengefulness Evolves in Small Groups," Palgrave Macmillan Books, in: Steffen Huck (ed.), Advances in Understanding Strategic Behaviour, chapter 3, pages 28-54, Palgrave Macmillan.
    2. Blanco, Esther & Baier, Alexandra & Holzmeister, Felix & Jaber-Lopez, Tarek & Struwe, Natalie, 2022. "Substitution of social sustainability concerns under the Covid-19 pandemic," Ecological Economics, Elsevier, vol. 192(C).
    3. Friedman, Daniel & Singh, Nirvikar, 2009. "Equilibrium vengeance," Games and Economic Behavior, Elsevier, vol. 66(2), pages 813-829, July.
    4. Kei Tsutsui & Daniel Zizzo, 2014. "Group status, minorities and trust," Experimental Economics, Springer;Economic Science Association, vol. 17(2), pages 215-244, June.
    5. Ernst Fehr & Urs Fischbacher, 2004. "Social norms and human cooperation," Macroeconomics 0409026, University Library of Munich, Germany.
    6. Shaun Hargreaves Heap & Jonathan Tan & Daniel Zizzo, 2013. "Trust, inequality and the market," Theory and Decision, Springer, vol. 74(3), pages 311-333, March.
    7. Rapoport, Hillel & Weiss, Avi, 2002. "In-Group Cooperation in a Hostile Environment: An Economic Perspective on Some Aspects of Jewish Life in (Pre-Modern) Diaspora," IZA Discussion Papers 483, Institute of Labor Economics (IZA).
    8. Michael Bacharach & Gerardo Guerra & Daniel Zizzo, 2007. "The Self-Fulfilling Property of Trust: An Experimental Study," Theory and Decision, Springer, vol. 63(4), pages 349-388, December.

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