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Are we underestimating inequality aversion? Comparing recruited and classroom subjects

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  • Kamas, Linda
  • Preston, Anne

Abstract

This paper finds that in experiments measuring social preferences, subjects who respond to recruitment incentivized by pecuniary rewards are more likely to be self-interested and less likely to be inequality averse than students who participate in classroom sessions.

Suggested Citation

  • Kamas, Linda & Preston, Anne, 2016. "Are we underestimating inequality aversion? Comparing recruited and classroom subjects," Economics Letters, Elsevier, vol. 147(C), pages 157-159.
    • Handle: RePEc:eee:ecolet:v:147:y:2016:i:c:p:157-159
    DOI: 10.1016/j.econlet.2016.08.037
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    References listed on IDEAS

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    1. Gary Charness & Matthew Rabin, 2002. "Understanding Social Preferences with Simple Tests," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 117(3), pages 817-869.
    2. Ernst Fehr & Klaus M. Schmidt, 1999. "A Theory of Fairness, Competition, and Cooperation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(3), pages 817-868.
    3. Ernst Fehr & Michael Naef & Klaus M. Schmidt, 2006. "Inequality Aversion, Efficiency, and Maximin Preferences in Simple Distribution Experiments: Comment," American Economic Review, American Economic Association, vol. 96(5), pages 1912-1917, December.
    4. Jon Anderson & Stephen Burks & Jeffrey Carpenter & Lorenz Götte & Karsten Maurer & Daniele Nosenzo & Ruth Potter & Kim Rocha & Aldo Rustichini, 2013. "Self-selection and variations in the laboratory measurement of other-regarding preferences across subject pools: evidence from one college student and two adult samples," Experimental Economics, Springer;Economic Science Association, vol. 16(2), pages 170-189, June.
    5. Axel Ockenfels & Gary E. Bolton, 2000. "ERC: A Theory of Equity, Reciprocity, and Competition," American Economic Review, American Economic Association, vol. 90(1), pages 166-193, March.
    6. Blair Cleave & Nikos Nikiforakis & Robert Slonim, 2013. "Is there selection bias in laboratory experiments? The case of social and risk preferences," Experimental Economics, Springer;Economic Science Association, vol. 16(3), pages 372-382, September.
    7. Catherine C. Eckel & Philip J. Grossman, 2000. "Volunteers and Pseudo-Volunteers: The Effect of Recruitment Method in Dictator Experiments," Experimental Economics, Springer;Economic Science Association, vol. 3(2), pages 107-120, October.
    8. Gary E. Bolton & Axel Ockenfels, 2006. "Inequality Aversion, Efficiency, and Maximin Preferences in Simple Distribution Experiments: Comment," American Economic Review, American Economic Association, vol. 96(5), pages 1906-1911, December.
    9. Dirk Engelmann & Martin Strobel, 2004. "Inequality Aversion, Efficiency, and Maximin Preferences in Simple Distribution Experiments," American Economic Review, American Economic Association, vol. 94(4), pages 857-869, September.
    10. Slonim, Robert & Wang, Carmen & Garbarino, Ellen & Merrett, Danielle, 2012. "Opting-In: Participation Biases in the Lab," IZA Discussion Papers 6865, Institute of Labor Economics (IZA).
    11. Linda Kamas & Anne Preston, 2012. "Gender and Social Preferences in the US: An Experimental Study," Feminist Economics, Taylor & Francis Journals, vol. 18(1), pages 135-160, January.
    12. Armin Falk & Stephan Meier & Christian Zehnder, 2013. "Do Lab Experiments Misrepresent Social Preferences? The Case Of Self-Selected Student Samples," Journal of the European Economic Association, European Economic Association, vol. 11(4), pages 839-852, August.
    13. Slonim, Robert & Wang, Carmen & Garbarino, Ellen & Merrett, Danielle, 2013. "Opting-in: Participation bias in economic experiments," Journal of Economic Behavior & Organization, Elsevier, vol. 90(C), pages 43-70.
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    More about this item

    Keywords

    Social preferences; Inequality aversion; Experimental methodology; Selection bias; Dictator game; Laboratory experiments;
    All these keywords.

    JEL classification:

    • C9 - Mathematical and Quantitative Methods - - Design of Experiments
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers

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