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Maxims nudge equitable or efficient choices in a Trade-Off Game

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Listed:
  • Long Huang
  • Wansheng Lei
  • Fuming Xu
  • Hairong Liu
  • Liang Yu
  • Fujun Shi
  • Lei Wang

Abstract

The core problem in the distribution dilemma is the trade-off between equity and efficiency. With the development of socio-economic conditions, the optimal decision changes between equitable and efficient options. The methods for nudging decision-makers to make optimal decisions without changing the event are extremely important. This study used two laboratory behavior experiments to explore the impact of maxim information on the trade-off between equity and efficiency. The study explores whether stake levels and division schemes affect the nudging effect of the maxim in a Trade-Off Game (TOG). We found that participants were affected by maxim information in decision-making scenarios, and participants showed different equity preferences as the maxim information changed, without relevance of the stake level. Additionally, the nudging effect of the maxim only exists under the condition that the distributor's interests is not affected.

Suggested Citation

  • Long Huang & Wansheng Lei & Fuming Xu & Hairong Liu & Liang Yu & Fujun Shi & Lei Wang, 2020. "Maxims nudge equitable or efficient choices in a Trade-Off Game," PLOS ONE, Public Library of Science, vol. 15(6), pages 1-13, June.
    • Handle: RePEc:plo:pone00:0235443
    DOI: 10.1371/journal.pone.0235443
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