We report on several experiments on the optimal allocation of ownership rights. The experiments confirm the property … the most efficient ownership allocation despite starting from different initial conditions. However, in contrast to the … the self-interest model nor with models that assume that all people behave fairly, but they can be explained by the theory …

utility from three distinct sources: material outcomes (their own and the transgressor's payoff), affective states (the …

We show experimentally that fairness concerns may have a decisive impact on both the actual and the optimal choice of … contracts in a moral hazard context. Explicit incentive contracts that are optimal according to self-interest theory become … inferior when some agents value fairness. Conversely, implicit bonus contracts that are doomed to fail among purely selfish …

systematically refutes the self-interest hypothesis and suggests that many people are strongly motivated by concerns for fairness and … insights into the nature of preferences and into the relative performance of competing theories of fairness. The purpose of …

(e.g., related to an individual's altruism, fairness perceptions, concerns for efficiency, and political views). By …

a theory of justice accommodating norms of individual responsibility. I propose and axiomatically characterize a family …

conventional contract theory. Our three key insights are: First, inequity aversion plays a crucial role in the design of optimal …

skills and preferences. The key feature of our measure is that it aggregates fairness gaps, defined as the difference between … the money-metric utility that the individual currently obtains and the money-metric utility that the individual should …