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Peer Effects and Social Preferences in Voluntary Cooperation

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  • Thöni, Christian

    (University of Lausanne)

  • Gächter, Simon

    (University of Nottingham)

Abstract

Substantial evidence suggests the behavioral relevance of social preferences and also the importance of social influence effects ("peer effects"). Yet, little is known about how peer effects and social preferences are related. In a three-person gift-exchange experiment we find causal evidence for peer effects in voluntary cooperation: agents' efforts are positively related despite the absence of material payoff interdependencies. We confront this result with major theories of social preferences which predict that efforts are unrelated, or negatively related. Some theories allow for positively-related efforts but cannot explain most observations. Conformism, norm following and considerations of social esteem are candidate explanations.

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  • Thöni, Christian & Gächter, Simon, 2012. "Peer Effects and Social Preferences in Voluntary Cooperation," IZA Discussion Papers 6277, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp6277
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    Cited by:

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    3. Charness, Gary & Naef, Michael & Sontuoso, Alessandro, 2019. "Opportunistic conformism," Journal of Economic Theory, Elsevier, vol. 180(C), pages 100-134.
    4. Asanov, Igor & Vannuccini, Simone, 2020. "Short- and Long-run Effects of External Interventions on Trust," Review of Behavioral Economics, now publishers, vol. 7(2), pages 159-195, May.
    5. Simon Gächter & Daniele Nosenzo & Martin Sefton, 2013. "Peer Effects In Pro-Social Behavior: Social Norms Or Social Preferences?," Journal of the European Economic Association, European Economic Association, vol. 11(3), pages 548-573, June.
    6. Fišar, Miloš & Kubák, Matúš & Špalek, Jiři & Tremewan, James, 2016. "Gender differences in beliefs and actions in a framed corruption experiment," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 63(C), pages 69-82.
    7. Karakostas, Alexandros & Zizzo, Daniel John, 2016. "Compliance and the power of authority," Journal of Economic Behavior & Organization, Elsevier, vol. 124(C), pages 67-80.
    8. Hideaki Goto, 2017. "How does socio-economic environment influence the distribution of altruism?," Theory and Decision, Springer, vol. 82(1), pages 93-116, January.
    9. Aurélie BONEIN, 2014. "Social Comparison and Peer effects with Heterogeneous Ability," Economics Working Paper Archive (University of Rennes & University of Caen) 201411, Center for Research in Economics and Management (CREM), University of Rennes, University of Caen and CNRS.

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    More about this item

    Keywords

    conformism; social preferences; voluntary cooperation; peer effects; reflection problem; gift exchange; social norms; social esteem;
    All these keywords.

    JEL classification:

    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles

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