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Is the veil of ignorance only a concept about risk? An experiment

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  • Schildberg-Hörisch, Hannah

Abstract

We implement the Rawlsian veil of ignorance in the laboratory. Our design allows analyzing the effects of risk and social preferences behind the veil of ignorance. Behind the veil of ignorance subjects choose more equal distributions than in front of the veil, but only a minority acts according to maximin preferences. Many subjects prefer more equal allocations not only for insurance purposes but also due to impartial social preferences for equality. Our results imply that behind the veil of ignorance maximin preferences are compatible with any degree of risk aversion if impartial social preferences for equality are sufficiently strong.

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  • Schildberg-Hörisch, Hannah, 2010. "Is the veil of ignorance only a concept about risk? An experiment," Journal of Public Economics, Elsevier, vol. 94(11-12), pages 1062-1066, December.
    • Handle: RePEc:eee:pubeco:v:94:y:2010:i:11-12:p:1062-1066
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    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. What distribution principle would you choose behind a veil of ignorance?
      by Winton Bates in Freedom and Flourishing on 2010-10-11 10:02:00

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    More about this item

    Keywords

    Veil of ignorance Maximin preferences Experiment Redistribution Social preferences Efficiency;

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • C99 - Mathematical and Quantitative Methods - - Design of Experiments - - - Other

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