Showing 1 - 5 of 5
. We test if thresholds perform better if they are endogenously chosen, i.e. if a threshold is approved in a referendum …
Persistent link: https://www.econbiz.de/10003923574
Can lab experiments on student populations serve to identify the motivational forces present in society at large? We address this question by conducting, to our knowledge, the first study of social preferences that brings a nationally representative population into the lab, and we compare their...
Persistent link: https://www.econbiz.de/10009230868
Economists long considered money illusion to be largely irrelevant. Here we show, however, that money illusion has powerful effects on equilibrium selection. If we represent payoffs in nominal terms, choices converge to the Pareto inefficient equilibrium; however, if we lift the veil of money by...
Persistent link: https://www.econbiz.de/10011402620
The paper reports the first experimental study on people's fairness views on extreme income inequalities arising from winner-take-all reward structures. We find that the majority of participants consider extreme income inequality generated in winner-take-all situations as fair, independent of...
Persistent link: https://www.econbiz.de/10011847544
Do democratically chosen rules lead to more cooperation and, hence, higher efficiency, than imposed rules? To discuss when such a "dividend of democracy" obtains, we review experimental studies in which material incentives remain stacked against cooperation (i.e., free-riding incentives prevail)...
Persistent link: https://www.econbiz.de/10014334071