Transparency and Fairness in Organizational Decisions: An Experimental Investigation Using the Paired Ultimatum Game
Author
Abstract
Suggested Citation
DOI: 10.1287/stsc.2019.0100
Download full text from publisher
References listed on IDEAS
- Sunkee Lee & Phanish Puranam, 2017. "Incentive Redesign and Collaboration in Organizations: Evidence from a Natural Experiment," Strategic Management Journal, Wiley Blackwell, vol. 38(12), pages 2333-2352, December.
- Chaim Fershtman & Uri Gneezy & John A. List, 2012. "Equity Aversion: Social Norms and the Desire to Be Ahead," American Economic Journal: Microeconomics, American Economic Association, vol. 4(4), pages 131-144, November.
- Jordi Brandts & Gary Charness, 2011. "The strategy versus the direct-response method: a first survey of experimental comparisons," Experimental Economics, Springer;Economic Science Association, vol. 14(3), pages 375-398, September.
- 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.
- Fehr, Ernst & Schmidt, Klaus M., . "A theory of fairness, competition, and cooperation," Chapters in Economics,, University of Munich, Department of Economics.
- Ernst Fehr & Klaus M. Schmidt, "undated". "A Theory of Fairness, Competition and Cooperation," IEW - Working Papers 004, Institute for Empirical Research in Economics - University of Zurich.
- Fehr, Ernst & Schmidt, Klaus M., 1999. "A theory of fairness, competition, and cooperation," Munich Reprints in Economics 20650, University of Munich, Department of Economics.
- Fehr, Ernst & Schmidt, Klaus M., 1998. "A Theory of Fairness, Competition and Cooperation," CEPR Discussion Papers 1812, C.E.P.R. Discussion Papers.
- Mitzkewitz, Michael & Nagel, Rosemarie, 1993. "Experimental Results on Ultimatum Games with Incomplete Information," International Journal of Game Theory, Springer;Game Theory Society, vol. 22(2), pages 171-198.
- David Card & Alexandre Mas & Enrico Moretti & Emmanuel Saez, 2012.
"Inequality at Work: The Effect of Peer Salaries on Job Satisfaction,"
American Economic Review, American Economic Association, vol. 102(6), pages 2981-3003, October.
- David Card & Alexandre Mas & Enrico Moretti & Emmanuel Saez, 2010. "Inequality at Work: The Effect of Peer Salaries on Job Satisfaction," NBER Working Papers 16396, National Bureau of Economic Research, Inc.
- David Card & Alex Mas & Enrico Moretti & Emmanuel Saez, 2010. "Inequality at Work: The Effect of Peer Salaries on Job Satisfaction," Working Papers 1269, Princeton University, Department of Economics, Industrial Relations Section..
- Card, David & Mas, Alexandre & Moretti, Enrico & Saez, Emmanuel, 2010. "Inequality at Work: The Effect of Peer Salaries on Job Satisfaction," Institute for Research on Labor and Employment, Working Paper Series qt48z7z9dn, Institute of Industrial Relations, UC Berkeley.
- Joanne Martin, 1982. "The Fairness of Earnings Differentials: An Experimental Study of the Perceptions of Blue-Collar Workers," Journal of Human Resources, University of Wisconsin Press, vol. 17(1), pages 110-122.
- John, Leslie K. & Loewenstein, George & Rick, Scott I., 2014. "Cheating more for less: Upward social comparisons motivate the poorly compensated to cheat," Organizational Behavior and Human Decision Processes, Elsevier, vol. 123(2), pages 101-109.
- Raghuram Rajan & Henri Servaes & Luigi Zingales, 2000.
"The Cost of Diversity: The Diversification Discount and Inefficient Investment,"
Journal of Finance, American Finance Association, vol. 55(1), pages 35-80, February.
- Raghuram Rajan & Henry Servaes & Luigi Zingales, "undated". "The Cost of Diversity: The Diversification Discount and Inefficient Investment," CRSP working papers 463, Center for Research in Security Prices, Graduate School of Business, University of Chicago.
- Raghuram Rajan & Henri Servaes & Luigi Zingales, 1998. "The Cost of Diversity: The Diversification Discount and Inefficient Investment," NBER Working Papers 6368, National Bureau of Economic Research, Inc.
- Rajan, Raghuram G & Servaes, Henri & Zingales, Luigi, 1998. "The Cost of Diversity: The Diversification Discount and Inefficient Investment," CEPR Discussion Papers 1801, C.E.P.R. Discussion Papers.
- Raghuram Rajan & Henri Servaes & Luigi Zingales, "undated". "The Cost of Diversity: The Diversification Discount and Inefficient Investment," CRSP working papers 357, Center for Research in Security Prices, Graduate School of Business, University of Chicago.
- Todd R. Zenger, 1994. "Explaining Organizational Diseconomies of Scale in R&D: Agency Problems and the Allocation of Engineering Talent, Ideas, and Effort by Firm Size," Management Science, INFORMS, vol. 40(6), pages 708-729, June.
- Teck-Hua Ho & Xuanming Su, 2009. "Peer-Induced Fairness in Games," American Economic Review, American Economic Association, vol. 99(5), pages 2022-2049, December.
- Daniel Kahneman & Amos Tversky, 2013.
"Prospect Theory: An Analysis of Decision Under Risk,"
World Scientific Book Chapters, in: Leonard C MacLean & William T Ziemba (ed.), HANDBOOK OF THE FUNDAMENTALS OF FINANCIAL DECISION MAKING Part I, chapter 6, pages 99-127,
World Scientific Publishing Co. Pte. Ltd..
- Kahneman, Daniel & Tversky, Amos, 1979. "Prospect Theory: An Analysis of Decision under Risk," Econometrica, Econometric Society, vol. 47(2), pages 263-291, March.
- Amos Tversky & Daniel Kahneman, 1979. "Prospect Theory: An Analysis of Decision under Risk," Levine's Working Paper Archive 7656, David K. Levine.
- Elizabeth Tricomi & Antonio Rangel & Colin F. Camerer & John P. O’Doherty, 2010. "Neural evidence for inequality-averse social preferences," Nature, Nature, vol. 463(7284), pages 1089-1091, February.
- Solnick, Sara J. & Schweitzer, Maurice E., 1999. "The Influence of Physical Attractiveness and Gender on Ultimatum Game Decisions," Organizational Behavior and Human Decision Processes, Elsevier, vol. 79(3), pages 199-215, September.
- Jack A. Nickerson & Todd R. Zenger, 2008. "Envy, comparison costs, and the economic theory of the firm," Strategic Management Journal, Wiley Blackwell, vol. 29(13), pages 1429-1449, December.
- Wang, Cynthia S. & Sivanathan, Niro & Narayanan, Jayanth & Ganegoda, Deshani B. & Bauer, Monika & Bodenhausen, Galen V. & Murnighan, Keith, 2011. "Retribution and emotional regulation: The effects of time delay in angry economic interactions," Organizational Behavior and Human Decision Processes, Elsevier, vol. 116(1), pages 46-54, September.
- Markus Reitzig & Boris Maciejovsky, 2015. "Corporate hierarchy and vertical information flow inside the firm—a behavioral view," Strategic Management Journal, Wiley Blackwell, vol. 36(13), pages 1979-1999, December.
- Burton, Richard M. & Obel, Borge, 1988. "Opportunism, incentives, and the m-form hypothesis : A laboratory study," Journal of Economic Behavior & Organization, Elsevier, vol. 10(1), pages 99-119, July.
- Pillutla, Madan M. & Murnighan, J. Keith, 1996. "Unfairness, Anger, and Spite: Emotional Rejections of Ultimatum Offers," Organizational Behavior and Human Decision Processes, Elsevier, vol. 68(3), pages 208-224, December.
- Bahry, Donna L. & Wilson, Rick K., 2006. "Confusion or fairness in the field? Rejections in the ultimatum game under the strategy method," Journal of Economic Behavior & Organization, Elsevier, vol. 60(1), pages 37-54, May.
- Hessel Oosterbeek & Randolph Sloof & Gijs van de Kuilen, 2004.
"Cultural Differences in Ultimatum Game Experiments: Evidence from a Meta-Analysis,"
Experimental Economics, Springer;Economic Science Association, vol. 7(2), pages 171-188, June.
- Hessel Oosterbeek & Randolph Sloof & Gijs van de Kuilen, 2004. "Cultural differences in ultimatum game experiments: Evidence from a meta-analysis," Experimental 0401003, University Library of Munich, Germany.
- Harold Guetzkow & Herbert A. Simon, 1955. "The Impact of Certain Communication Nets Upon Organization and Performance in Task-Oriented Groups," Management Science, INFORMS, vol. 1(3-4), pages 233-250, 04-07.
- Claudine Gartenberg & Julie Wulf, 2017. "Pay Harmony? Social Comparison and Performance Compensation in Multibusiness Firms," Organization Science, INFORMS, vol. 28(1), pages 39-55, February.
- Rajshree Agarwal & Jaideep Anand & Janet Bercovitz & Rachel Croson, 2012. "Spillovers across organizational architectures: The role of prior resource allocation and communication in post‐acquisition coordination outcomes," Strategic Management Journal, Wiley Blackwell, vol. 33(6), pages 710-733, June.
Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
Cited by:
- Prithwiraj Choudhury & Kevin Crowston & Linus Dahlander & Marco S. Minervini & Sumita Raghuram, 2020. "GitLab: work where you want, when you want," Journal of Organization Design, Springer;Organizational Design Community, vol. 9(1), pages 1-17, December.
Most related items
These are the items that most often cite the same works as this one and are cited by the same works as this one.- Zultan, Ro’i, 2012.
"Strategic and social pre-play communication in the ultimatum game,"
Journal of Economic Psychology, Elsevier, vol. 33(3), pages 425-434.
- Roi Zultan, 2011. "Strategic And Social Preplay Communication In The Ultimatum Game," Working Papers 1107, Ben-Gurion University of the Negev, Department of Economics.
- Lahno, Amrei M. & Serra-Garcia, Marta, 2012. "Peer Effects in Risk Taking," Discussion Papers in Economics 14309, University of Munich, Department of Economics.
- Amrei M. Lahno & Marta Serra-Garcia, 2012. "Peer Effects in Risk Taking," CESifo Working Paper Series 4057, CESifo.
- Sunkee Lee & Phanish Puranam, 2017. "Incentive Redesign and Collaboration in Organizations: Evidence from a Natural Experiment," Strategic Management Journal, Wiley Blackwell, vol. 38(12), pages 2333-2352, December.
- Khalmetski, Kiryl & Ockenfels, Axel & Werner, Peter, 2015.
"Surprising gifts: Theory and laboratory evidence,"
Journal of Economic Theory, Elsevier, vol. 159(PA), pages 163-208.
- Kiryl Khalmetski & Axel Ockenfels & Peter Werner, 2013. "Surprising Gifts - Theory and Laboratory Evidence," Working Paper Series in Economics 61, University of Cologne, Department of Economics.
- Werner, Peter & Khalmetski, Kiryl & Ockenfels, Axel, 2015. "Surprising Gifts: Theory and Laboratory Evidence," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 113006, Verein für Socialpolitik / German Economic Association.
- Güth, Werner & Kocher, Martin G., 2014.
"More than thirty years of ultimatum bargaining experiments: Motives, variations, and a survey of the recent literature,"
Journal of Economic Behavior & Organization, Elsevier, vol. 108(C), pages 396-409.
- Werner Güth & Martin G. Kocher, 2013. "More than Thirty Years of Ultimatum Bargaining Experiments: Motives, Variations, and a Survey of the Recent Literature," CESifo Working Paper Series 4380, CESifo.
- Werner Güth & Martin G. Kocher, 2013. "More than thirty years of ultimatum bargaining experiments: Motives, variations, and a survey of the recent literature," Jena Economics Research Papers 2013-035, Friedrich-Schiller-University Jena.
- Matthias Fahn & Giorgio Zanarone, 2021.
"Pay Transparency Under Subjective Performance Evaluation,"
CESifo Working Paper Series
8849, CESifo.
- Matthias Fahn & Giorgio Zanarone, 2021. "Pay Transparency under Subjective Performance Evaluation," Economics working papers 2021-02, Department of Economics, Johannes Kepler University Linz, Austria.
- Aina, Chiara & Battigalli, Pierpaolo & Gamba, Astrid, 2020.
"Frustration and anger in the Ultimatum Game: An experiment,"
Games and Economic Behavior, Elsevier, vol. 122(C), pages 150-167.
- Chiara Aina & Pierpaolo Battigalli & Astrid Gamba, 2018. "Frustration and Anger in the Ultimatum Game: An Experiment," Working Papers 621, IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University.
- Matthias Fahn & Giorgio Zanarone, 2022. "Transparency in relational contracts," Strategic Management Journal, Wiley Blackwell, vol. 43(5), pages 1046-1071, May.
- Axel Ockenfels & Dirk Sliwka & Peter Werner, 2015.
"Bonus Payments and Reference Point Violations,"
Management Science, INFORMS, vol. 61(7), pages 1496-1513, July.
- Ockenfels, Axel & Sliwka, Dirk & Werner, Peter, 2010. "Bonus Payments and Reference Point Violations," IZA Discussion Papers 4795, Institute of Labor Economics (IZA).
- Alexia Gaudeul, 2013.
"Social preferences under uncertainty,"
Jena Economics Research Papers
2013-024, Friedrich-Schiller-University Jena.
- Gaudeul, Alexia, 2016. "Social preferences under risk: Minimizing collective risk vs. reducing ex-post inequality," University of Göttingen Working Papers in Economics 283, University of Goettingen, Department of Economics.
- Alexia Gaudeul, 2015. "Social Preferences under Risk: Ex-Post Fairness vs. Efficiency," Jena Economics Research Papers 2015-010, Friedrich-Schiller-University Jena.
- Alexander Lenger & Stephan Wolf & Nils Goldschmidt, 2021. "Choosing inequality: how economic security fosters competitive regimes," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 19(2), pages 315-346, June.
- Jennie Huang & Judd B. Kessler & Muriel Niederle, 2024. "Fairness has less impact when agents are less informed," Experimental Economics, Springer;Economic Science Association, vol. 27(1), pages 155-174, March.
- Rotemberg, Julio J., 2008.
"Minimally acceptable altruism and the ultimatum game,"
Journal of Economic Behavior & Organization, Elsevier, vol. 66(3-4), pages 457-476, June.
- Julio J. Rotemberg, 2006. "Minimally acceptable altruism and the ultimatum game," Working Papers 06-12, Federal Reserve Bank of Boston.
- Emin Karagözoğlu & Ümit Barış Urhan, 2017. "The Effect of Stake Size in Experimental Bargaining and Distribution Games: A Survey," Group Decision and Negotiation, Springer, vol. 26(2), pages 285-325, March.
- Bahry, Donna L. & Wilson, Rick K., 2006. "Confusion or fairness in the field? Rejections in the ultimatum game under the strategy method," Journal of Economic Behavior & Organization, Elsevier, vol. 60(1), pages 37-54, May.
- Amrei Lahno & Marta Serra-Garcia, 2015. "Peer effects in risk taking: Envy or conformity?," Journal of Risk and Uncertainty, Springer, vol. 50(1), pages 73-95, February.
- Dieter Balkenborg & Rosemarie Nagel, 2016.
"An Experiment on Forward vs. Backward Induction: How Fairness and Level k Reasoning Matter,"
German Economic Review, Verein für Socialpolitik, vol. 17(3), pages 378-408, August.
- Balkenborg Dieter & Nagel Rosemarie, 2016. "An Experiment on Forward vs. Backward Induction: How Fairness and Level k Reasoning Matter," German Economic Review, De Gruyter, vol. 17(3), pages 378-408, August.
- Biao Luo & Chengyuan Wang & Tieshan Li, 2018. "Inequity-averse agents’ deserved concerns under the linear contract: a social network setting," Annals of Operations Research, Springer, vol. 268(1), pages 129-148, September.
- Josie I. Chen & Kenju Kamei, 2018.
"Disapproval aversion or inflated inequity acceptance? The impact of expressing emotions in ultimatum bargaining,"
Experimental Economics, Springer;Economic Science Association, vol. 21(4), pages 836-857, December.
- Josie I Chen & Kenju Kamei, 2017. "Disapproval Aversion or Inflated Inequity Acceptance? The Impact of Expressing Emotions in Ultimatum Bargaining," Working Papers 2017_10, Durham University Business School.
More about this item
Keywords
corporate strategy; decision making; managerial and organizational cognition; human resource management; governance and control; organization and management theory;All these keywords.
Statistics
Access and download statisticsCorrections
All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:inm:orstsc:v:5:y:2020:i:1:p:55-70. See general information about how to correct material in RePEc.
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Asher (email available below). General contact details of provider: https://edirc.repec.org/data/inforea.html .
Please note that corrections may take a couple of weeks to filter through the various RePEc services.