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Incentives and Social Norms in Household Behavior


  • Lindbeck, A


In a broad psychological perspective, both economic incentives and social norms may be be regarded as giving rise to purposesful, or "rational" behavior. By this I simply mean that individuals act in accordaance with expected reward or punishment, even though the form these take differs substantially in the two cases. Whereas economic incentives imply "material rewards", or favors that can be traded for such rewards including leisure, social norms imply "social rewards".

Suggested Citation

  • Lindbeck, A, 1996. "Incentives and Social Norms in Household Behavior," Papers 622, Stockholm - International Economic Studies.
  • Handle: RePEc:fth:stocin:622

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    References listed on IDEAS

    1. Pollak, Robert A, 1976. "Interdependent Preferences," American Economic Review, American Economic Association, vol. 66(3), pages 309-320, June.
    2. Bernheim, B Douglas, 1994. "A Theory of Conformity," Journal of Political Economy, University of Chicago Press, vol. 102(5), pages 841-877, October.
    3. Alessie, Rob & Kapteyn, Arie, 1991. "Habit Formation, Interdependent References and Demographic Effects in the Almost Ideal Demand System," Economic Journal, Royal Economic Society, vol. 101(406), pages 404-419, May.
    4. Lindbeck, Assar, 1995. " Welfare State Disincentives with Endogenous Habits and Norms," Scandinavian Journal of Economics, Wiley Blackwell, vol. 97(4), pages 477-494, December.
    5. George A. Akerlof, 1980. "A Theory of Social Custom, of which Unemployment may be One Consequence," The Quarterly Journal of Economics, Oxford University Press, vol. 94(4), pages 749-775.
    6. Schelling, Thomas C, 1969. "Models of Segregation," American Economic Review, American Economic Association, vol. 59(2), pages 488-493, May.
    7. Kapteyn, Arie & Wansbeek, Tom, 1982. "Empirical evidence on preference formation," Journal of Economic Psychology, Elsevier, vol. 2(2), pages 137-154, June.
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    JEL classification:

    • R2 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis
    • A14 - General Economics and Teaching - - General Economics - - - Sociology of Economics


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