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This paper develops a model of social interactions and endogenous poverty traps. The key idea is captured in a framework in which the likelihood of future social interactions with members of one's group is partly determined by group-specific investments made by individuals. I prove three main...
Persistent link: https://www.econbiz.de/10012466301
increases. The experiment also points to new avenues for refining the theory. We find that, as the payoff of a successful …
Persistent link: https://www.econbiz.de/10012457730
Two heterogeneous agents contribute over time to a joint project, and collectively decide its scope. A larger scope requires greater cumulative effort and delivers higher benefits upon completion. We show that the efficient agent prefers a smaller scope, and preferences are time-inconsistent: as...
Persistent link: https://www.econbiz.de/10012455908
We study a standard collective action problem in which successful achievement of a group interest requires costly participation by some fraction of its members. How should we model the internal organization of these groups when there is asymmetric information about the preferences of their...
Persistent link: https://www.econbiz.de/10014226188
In SIR models, infection rates are typically exogenous, whereas individuals adjust their behavior in reality. City-level data across the globe suggest that mobility falls in response to fear, proxied by Google searches. Incorporating experimentally validated measures of social preferences at the...
Persistent link: https://www.econbiz.de/10012481717
In this paper we present the results from a "corruption game" (a dictator game modified so that the second player can accept a side payment that reduces the overall size of the pie). Dictators (silently) treated to have the possibility of taking a larger proportion of the recipient's tokens,...
Persistent link: https://www.econbiz.de/10012462011
We analyze the offering, asking, and granting of help or other benefits as a three-stage game with bilateral private information between a person in need of help and a potential help-giver. Asking entails the risk of rejection, which can be painful: since unawareness of the need can no longer be...
Persistent link: https://www.econbiz.de/10013388842
. By cumulating votes on issues that it deems most important, the minority can win occasionally. But because the majority … typically can outvote it, the minority wins only of its strength of preferences is high and the majority's strength of … confirmed by a series of experiments: the frequency of minority victories, the relative payoff of the minority versus the …
Persistent link: https://www.econbiz.de/10012467002
We propose a theoretical framework to study the determinants of ethnic and religious identity along two distinct motivational processes which have been proposed in the social sciences: cultural conformity and cultural distinction. Under cultural conformity, ethnic identity is reduced by...
Persistent link: https://www.econbiz.de/10012462192
side demands votes and each demands enough votes to alone control a majority. The probability of a minority victory is … independent of the size of the minority and converges to one half, for any minority size, when the electorate is arbitrarily large …
Persistent link: https://www.econbiz.de/10012460087