Fairness and Accountability: Testing Models of Social Norms in Unequal
We examine behavioural models involved in the provision of public goods when income inequality exists within groups. Our sample consists of individuals from urban and rural South African fishing communities. We find that behaviour observed in unequal groups does not accord with models of inequality aversion or egocentric altruism which require an equal distribution of final payoffs. On the other hand it is also not the case that individuals completely discount differences in initial allocations of wealth, as proposed by our absolute reciprocity model. Instead our empirical results lends support to a reciprocal model which requires that individuals contribute a proportional share of their initial endowments. Accordingly individuals are only partly held responsible for exogenous differences in initial wealth.
|Date of creation:||2013|
|Date of revision:|
|Contact details of provider:|| Postal: Private BagX3, Rondebosch, 7701, Cape Town|
Phone: +27 21 650 5696
Fax: +27 21 650 5697
Web page: http://www.saldru.uct.ac.za/
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:ldr:wpaper:116. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Alison Siljeur)
If references are entirely missing, you can add them using this form.