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Guilt aversion and inequality in dictator games

Author

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  • Battigalli, Pierpaolo
  • Di Bartolomeo, Giovanni
  • Papa, Stefano

Abstract

We examine the interplay between guilt aversion and inequality in decision-making, specifically in the context of a dictator game. Considering different initial allocations of the surplus, we investigate how the material opportunity cost of reducing inequality influences sharing behavior, revealing a complex relationship among guilt-driven choices and material opportunity costs.

Suggested Citation

  • Battigalli, Pierpaolo & Di Bartolomeo, Giovanni & Papa, Stefano, 2025. "Guilt aversion and inequality in dictator games," Economics Letters, Elsevier, vol. 247(C).
    • Handle: RePEc:eee:ecolet:v:247:y:2025:i:c:s016517652400613x
    DOI: 10.1016/j.econlet.2024.112129
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    References listed on IDEAS

    as
    1. Pierpaolo Battigalli & Martin Dufwenberg, 2022. "Belief-Dependent Motivations and Psychological Game Theory," Journal of Economic Literature, American Economic Association, vol. 60(3), pages 833-882, September.
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    More about this item

    Keywords

    Guilt aversion; Psychological games; Dictator games; Second-order beliefs;
    All these keywords.

    JEL classification:

    • A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers

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