Parties in a bargaining situation may perceive guilt, a utility loss caused by receiving the larger share that is … problem for self-interested bargainers to a game with equally patient bargainers that exhibit a similar degree of guilt. The … bargaining parties still reach agreement in the first period. If guilt is strong, they split the bargaining surplus equally. In …

being worse off and guilt if being better off, but they still reach agreement in the first period under complete information …. If the perceived guilt is strong, then the inequality-averse bargainers split the bargaining surplus equally regardless … of their degree of envy. If guilt is weak, then the agreed split is tilted away from the Rubinstein division towards a …

-serving biases concerning their fairness judgements. Moreover, psychological literature suggests that this can be a driving force of …

' beliefs about fairness and lower out-of-court settlement amounts. …

). The proposer may be altruistic towards the responder either out of a genuine desire to make her happy or out of guilt. The … responder derives disutility from apparent acts of altruism motivated by guilt because she considers them to be insincere. She …’s prosocial behavior. I consider two recent formulations of endogenous guilt: simple guilt and guilt from blame. These …

depending on whether preferences exhibit desert elation or desert guilt. Our notion of desert generalizes distributional concern … guilt generates a continuum of symmetric equilibria. Equilibrium effort can lie above or below the level in the absence of … desert, so desert guilt generates behavior consistent with both positive and negative reciprocity and may underpin social …

The following is a model of psychological contracting with unmonitorable performance, implicit offers, and screening … for non-performance by the announcement of the expectation of performance. It is motivated by the $250 billion … asymmetric information. I show that the `shame' of accepting a possible bribe can screen for reciprocation inducing `guilt'. An …