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Vendettas

Author

Listed:
  • Friedel Bolle

    (European University Viadrina)

  • Jonathan H. W. Tan

    (University of Nottingham)

  • Daniel John Zizzo

    (University of East Anglia)

Abstract

Vendettas occur in many real world settings where rivals compete for a prize, e.g., winning an election or a competitive promotion, by engaging in retaliatory aggressive behavior. We present a benchmark experiment where two players have an initial probability of winning a prize. Retaliatory vendettas occur and lead agents to the worst possible outcomes in 60% to 80% of cases, counter to self interest predictions, and regardless of whether initial winning probabilities are equal or unequal. Negative emotions are important and interact with economic settings to produce large social inefficiencies. Venting emotions predicts aggression but also reduces it.

Suggested Citation

  • Friedel Bolle & Jonathan H. W. Tan & Daniel John Zizzo, 2010. "Vendettas," Working Paper series, University of East Anglia, Centre for Behavioural and Experimental Social Science (CBESS) 10-04, School of Economics, University of East Anglia, Norwich, UK..
    • Handle: RePEc:uea:wcbess:10-04
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    Other versions of this item:

    • Friedel Bolle & Jonathan H.W. Tan & Daniel John Zizzo, 2010. "Vendettas," Discussion Papers 2010-02, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham.

    References listed on IDEAS

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    Cited by:

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    2. Dickinson, David L. & Masclet, David, 2015. "Emotion venting and punishment in public good experiments," Journal of Public Economics, Elsevier, vol. 122(C), pages 55-67.
    3. Lacomba, Juan A. & Lagos, Francisco & Reuben, Ernesto & van Winden, Frans, 2017. "Decisiveness, peace, and inequality in games of conflict," Journal of Economic Psychology, Elsevier, vol. 63(C), pages 216-229.
    4. Bigoni, Maria & Bortolotti, Stefania & Nas Özen, Efşan, 2021. "Economic polarization and antisocial behavior: An experiment," Games and Economic Behavior, Elsevier, vol. 126(C), pages 387-401.
    5. Jung, SeEun & Vranceanu, Radu, 2019. "Competitive compensation and subjective well-being: The effect of culture and gender," Journal of Economic Psychology, Elsevier, vol. 70(C), pages 90-108.
    6. Drouvelis, Michalis & Grosskopf, Brit, 2016. "The effects of induced emotions on pro-social behaviour," Journal of Public Economics, Elsevier, vol. 134(C), pages 1-8.
    7. Lane, Tom, 2017. "How does happiness relate to economic behaviour? A review of the literature," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 68(C), pages 62-78.
    8. Abbink, Klaus & Doğan, Gönül, 2019. "How to choose your victim," Games and Economic Behavior, Elsevier, vol. 113(C), pages 482-496.
    9. Lacomba, Juan A. & Lagos, Francisco & Reuben, Ernesto & van Winden, Frans, 2014. "On the escalation and de-escalation of conflict," Games and Economic Behavior, Elsevier, vol. 86(C), pages 40-57.
    10. Sugden, Robert & Wang, Mengjie, 2020. "Equality of opportunity and the acceptability of outcome inequality," European Economic Review, Elsevier, vol. 130(C).
    11. Fehr, Dietmar, 2018. "Is increasing inequality harmful? Experimental evidence," Games and Economic Behavior, Elsevier, vol. 107(C), pages 123-134.
    12. Tan, Jonathan H.W. & Breitmoser, Yves & Bolle, Friedel, 2015. "Voluntary contributions by consent or dissent," Games and Economic Behavior, Elsevier, vol. 92(C), pages 106-121.
    13. Ramalingam, Abhijit & Godoy, Sara & Morales, Antonio J. & Walker, James M., 2016. "An individualistic approach to institution formation in public good games," Journal of Economic Behavior & Organization, Elsevier, vol. 129(C), pages 18-36.

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    More about this item

    Keywords

    trust; income inequality; market; social capital;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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