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The Geometry of Distributional Preferences and a Non-Parametric Identification Approach

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  • Rudolf Kerschbamer

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Abstract

This paper proposes a geometric delineation of distributional preference types and a non-parametric approach for their identification in a two-person context. It starts with a small set of assumptions on preferences and shows that this set (i) naturally results in a taxonomy of distributional archetypes that nests all empirically relevant types considered in previous work in economics and social psychology; and (ii) gives rise to a clean experimental test design that discriminates between archetypes according to core features of preferences rather than properties of specific modelling variants. As a by-product the test yields a two-dimensional index of preference intensity.

Suggested Citation

  • Rudolf Kerschbamer, 2013. "The Geometry of Distributional Preferences and a Non-Parametric Identification Approach," Working Papers 2013-25, Faculty of Economics and Statistics, University of Innsbruck.
  • Handle: RePEc:inn:wpaper:2013-25
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    Cited by:

    1. Balafoutas, Loukas & Kerschbamer, Rudolf & Kocher, Martin & Sutter, Matthias, 2014. "Revealed distributional preferences: Individuals vs. teams," Journal of Economic Behavior & Organization, Elsevier, vol. 108(C), pages 319-330.
    2. Micaela M. Kulesz & Dennis A. V. Dittrich, 2014. "It's not you, it's me: an experimental study of employers' wage setting behavior," Economics Bulletin, AccessEcon, vol. 34(4), pages 2128-2137.
    3. Paetzel, Fabian & Sausgruber, Rupert & Traub, Stefan, 2014. "Social preferences and voting on reform: An experimental study," European Economic Review, Elsevier, pages 36-55.
    4. Fehr, Ernst & Glätzle-Rützler, Daniela & Sutter, Matthias, 2013. "The development of egalitarianism, altruism, spite and parochialism in childhood and adolescence," European Economic Review, Elsevier, pages 369-383.

    More about this item

    Keywords

    distributional preferences; social preferences; other-regarding preferences; social value orientations; behavioral economics; experimental economics;

    JEL classification:

    • C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • C81 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Microeconomic Data; Data Access
    • B41 - Schools of Economic Thought and Methodology - - Economic Methodology - - - Economic Methodology

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