Although affirmative action remains controversial, little is known about who supports or opposes it and why. This paper investigates preferences for affirmative action by combining causal evidence from an experiment on the role of self-serving motives and in-group favoritism with survey data on...

Although affirmative action remains controversial, little is known about who supports or opposes it and why. This paper investigates preferences for affirmative action by combining causal evidence from an experiment on the role of self-serving motives and in-group favoritism with survey data on...

Although affirmative action remains controversial, little is known about who supports or opposes it and why. This paper investigates preferences for affirmative action by combining causal evidence from an experiment on the role of self-serving motives and in-group favoritism with survey data on...

In this paper, we introduce two sources of unemployment in a two-factor general equilibrium model: search frictions and fairness considerations. We find that a binding fair-wage constraint increases the unskilled unemployment rate and can at the same time lead to a higher unemployment rate for...

Modern welfare policies are increasingly based on notions of reciprocity. Citizens on welfare benefits have to do something in return, e.g. volunteer work. Notwithstanding general public support, social philosophers have been critical on 'mandatory' activities in community programmes. So far,...

This paper proposes an explanation for observed differences in the business cycle volatility of employment and unemployment across a sample of OECD countries. Using an incomplete markets variant of the fair wage real business cycle model, increases in the gross replacement rate of public...

Modern welfare policies are increasingly based on notions of reciprocity. Citizens on welfare benefits have to do something in return, e.g. volunteer work. Notwithstanding general public support, social philosophers have been critical on 'mandatory' activities in community programmes. So far,...

We analyze the impact of imperfect contract enforcement on the emergence of unemployment. In an experimental labor market where trading parties can form long-term employment relationships, we compare a work environment where effort is observable, but not verifiable to a situation where explicit...

In an online experiment, we examine how ingroup bias and fairness concerns shape the redistributive preferences of UK resident natives and immigrants. Natives and immigrants were paired in a series of distributive situations. They chose how to divide a pie created from either party's previous...