We study if and how social preferences extend to risky environments. By providing experimental evidence on different versions of dictator games with risky outcomes, we establish that social preferences of players who give in standard dictator games are best described by concerns for the...

This paper compiles a multidimensional poverty index for Germany. Drawing on the capability approach as conceptual framework, I apply the Alkire-Foster method using German panel data. I suggest new operationalizations for two dimensions: social participation and practical reason, the latter...

In recent decades, many firms offered more discretion to their employees, often increasing the productivity of effort but also leaving more opportunities for shirking. These "high-performance work systems" are difficult to understand in terms of standard moral hazard models. We show...

We develop a model of social preferences for network games and study its predictions in a local public goods game with multiple equilibria. The key feature is that players' social preferences are heterogeneous. This gives room for disagreement between players about the "right" payoff ordering....

Social identity is an important driver of behavior. But where do difierences in social identity come from? We use a novel laboratory experiment based on a revealed preference approach to analyze how individuals choose their identity. Facing a trade-off between monetary payments and belonging to...

We experimentally investigate the relevance of (asymmetric) outside options in ultimatum bargaining. Building on the generalized equity principle formulated by Selten (1978) we derive three di erent equity rules. These equity rules can explain 43% of all o ers. Our within-subject design allows...

We present evidence from a laboratory experiment that individuals who feel having been treated unfairly in the interaction with others are more likely to cheat in a subsequent, unrelated game. We interpret this result as showing that the violation of a social norm (fairness) by others can be...

Motivated by recent research on survey data, we test the influence of the political regime on social norms under controlled laboratory conditions. Comparing solidarity behavior revealed by East and West Germans in 1995 and 2009, we find that East Germans persistently show much less solidarity...

This paper examines how people redistribute income when there is uncertainty about the role luck plays in determining opportunities and outcomes. We introduce a portable experimental method that generates exogenous variation in the probability that real workers' earnings are due to luck, while...