The construction of social preferences often requires one to reconcile various social motives, such as concern with unfavorable inequality and maximization of social welfare. We propose a novel theory whereby people's level of agency influences the relative intensities of their social motives,...

Experimentally observed deviations of behavior from game theoretic predictions suggest that fairness does influence decision making. Fairness in the sense of equality has become an essential element of economic models aiming at explaining actual behavior (cf. Fehr and Schmidt, 1999; Bolton and...