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Are group members less inequality averse than individual decision makers?

Listed author(s):
  • Haoran He

    ()

    (School of Economics and Business Administration - Beijing Normal University)

  • Marie Claire Villeval

    ()

    (GATE Lyon Saint-Étienne - Groupe d'analyse et de théorie économique - ENS Lyon - École normale supérieure - Lyon - UL2 - Université Lumière - Lyon 2 - UCBL - Université Claude Bernard Lyon 1 - UJM - Université Jean Monnet [Saint-Etienne] - Université de Lyon - CNRS - Centre National de la Recherche Scientifique)

We compare inequality aversion in individuals and teams by means of both within- and between-subject experimental designs, and we investigate how teams aggregate individual preferences. We find that team decisions reveal less inequality aversion than individual initial proposals in team decision-making. However, teams are no more selfish than individuals who decide in isolation. Individuals express strategically more inequality aversion in their initial proposals in team decision-making because they anticipate the selfishness of other members. Members with median social preferences drive team decisions. Finally, we show that social image has little influence because guilt and envy are almost similar in anonymous and non-anonymous interactions.

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File URL: https://halshs.archives-ouvertes.fr/halshs-00996545v4/document
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Paper provided by HAL in its series Post-Print with number halshs-00996545.

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Date of creation: 2017
Publication status: Published in Journal of Economic Behavior and Organization, Elsevier, 2017, pp. 111-124
Handle: RePEc:hal:journl:halshs-00996545
Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-00996545v4
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