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We use a laboratory experiment to identify the impact of risk in the private and public dimensions of social investments. In variants of a public good game, we separate the return a subject's investment generates for herself vs. the return to others. We find a detrimental effect of risk on...
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The literature suggests that the household invests in the human capital of a child member not only for altruistic reasons but also as insurance against future income shocks. Hence, the allocation of the child's time between school and work is a function of the risk preference of the household...
Persistent link: https://www.econbiz.de/10012200935
study is needed because it is unclear how altruism influences the inclination of an altruistic person to take risks. Will … ability to make altruistic transfers? Or does altruism induce a person to resort to risky behavior because the reward for a … averse than a comparable person who is not altruistic: altruism is a cause of greater willingness to take risks. The finding …
Persistent link: https://www.econbiz.de/10014423411
study is needed because it is unclear how altruism influences the inclination of an altruistic person to take risks. Will … ability to make altruistic transfers? Or does altruism induce a person to resort to risky behavior because the reward for a … averse than a comparable person who is not altruistic: altruism is a cause of greater willingness to take risks. The finding …
Persistent link: https://www.econbiz.de/10014394252
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We consider dynamic team production in the presence of uncertainty. Team members receive interim feedback that depends on both their current effort level and the project's uncertain prospects. In this environment, each member can encourage the others by making them more optimistic about the...
Persistent link: https://www.econbiz.de/10012308721
This paper examines the effects of uncertainty on an individual's own contribution to the provision of the collective good using an impure public good model. Two types of uncertainty analyzing free-riding behavior are evaluated: (i) uncertainty surrounding the contributions of others to the...
Persistent link: https://www.econbiz.de/10013155052