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Competition and Well-Being

  • Brandts Jordi
  • Riedl Arno
  • Winden Frans van

    (METEOR)

This paper experimentally studies the effects of competition in an environment where people’s actions can not be contractually fixed. We find that, in comparison with no competition, the presence of competition does neither increase efficiency nor does it yield any gains in earning for the short side of the exchange relation. Moreover, competition has a clearly negative impact on the disposition towards others and on the experienced well-being of those on the long side. Since subjective well-being improves only for those on the short side competition contributes to larger inequalities in experienced well-being. All in all competition does not show up as a positive force in our environment.

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File URL: http://digitalarchive.maastrichtuniversity.nl/fedora/objects/guid:0cedaf4c-180a-4eb4-a022-1564614479ac/datastreams/ASSET1/content
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Paper provided by Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR) in its series Research Memorandum with number 033.

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Date of creation: 2005
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Handle: RePEc:unm:umamet:2005033
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