This paper presents a formal theory of reciprocity. Reciprocity means that people reward kind actions and punish unkind … ones. The theory takes into account that people evaluate the kindness of an action not only by its consequences but also … the intention underlying this action. The theory explains the relevant stylized facts of a wide range of experimental …

, including income and education. -- Generosity ; Altruism ; Political Preferences ; Size of Government ; Public Goods ; Dictator …