Narratives pervade almost any aspect of our life and play a particularly important role in moral and prosocial decision-making. We study how positive (stories in favor of a prosocial action) and negative (stories in favor of a selfish action) narratives influence prosocial behavior. Our main...

This paper studies the effects of two different frames on decisions in a dictator game. Before making their allocation decision, dictators read a short text. Depending on the treatment, the text either emphasizes their decision power and freedom of choice or it stresses their responsibility for...

We extend the literature structurally estimating social preferences by accounting for the desire to adhere to social norms. Our representative agent is strongly motivated by norms and failing to account for this causes us to overestimate how much agents care about helping those who are worse...

Economists and management scholars have argued that the scope of incentives to increase cooperation in organizations is limited as their use signals the prevalence of free-riding among employees. This paper tests this hypothesis experimentally, using a sample of managers and employees from a...

We provide experimental evidence on the emergence of redistributive societies. Individuals first vote on redistribution by feet and then learn their productivity and invest. We vary the individuals' information about their productivities at the time when they choose a distribution rule and find...

We provide theoretical conjectures about and experimental evidence on the emergence of redistributive societies. Individuals first vote on a distribution rule with their feet and then invest and redistribute total income according to the chosen rule. We vary the individuals’ information about...

We introduce the uncertainty of psychological motivation into a reciprocity model and explore its implications on behavior. We extend the Sequential Reciprocity Equilibrium in extensive-form games (Dufwenberg and Kirchsteiger, 2004) to a broader class of incomplete information games. We use this...