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Individual Preferences for Giving

Author

Listed:
  • Raymond Fisman

    (Graduate School of Business, Columbia University)

  • Shachar Kariv

    (Department of Economics, University of California, Berkeley)

  • Daniel Markovits

    (Yale Law School, Yale University)

Abstract

This paper reports an experimental test of individual preferences for giving. We use graphical representations of modified Dictator Games that vary the price of giving. This generates a very rich data set well- suited to studying behavior at the level of the individual subject. We test the data for consistency with preference maximization, and we recover underlying preferences and forecast behavior using both nonparametric and parametric methods. Our results emphasize that classical demand theory can account surprisingly well for behaviors observed in the laboratory and that individual preferences for giving are highly heterogeneous, ranging from utilitarian to Rawlsian to perfectly selfish.

Suggested Citation

  • Raymond Fisman & Shachar Kariv & Daniel Markovits, 2005. "Individual Preferences for Giving," Game Theory and Information 0504007, University Library of Munich, Germany.
  • Handle: RePEc:wpa:wuwpga:0504007
    Note: Type of Document - pdf; pages: 41
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Experiment; Fairness; Dictator Game; and Revealed Preference;
    All these keywords.

    JEL classification:

    • C79 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Other
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers

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