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In tort litigation, delayed settlement or impasse imposes high costs on the parties and society. Litigation institutions might influence social welfare by affecting the likelihood of out-of-court settlement and the potential injurers' investment in product safety. An appropriate design of...
Persistent link: https://www.econbiz.de/10014139770
We experimentally test how acceptance thresholds react to the decision of the proposer in a three party ultimatum game to exclude one of two responders with veto power from the game. We elicit responder acceptance thresholds in case the proposer decides to exclude one of them, what increases the...
Persistent link: https://www.econbiz.de/10005051047
By reporting data from a laboratory experiment, we provide clear evidence that people value procedures apart from their … appointment procedures. We elicit participants' preferences and fairness evaluations over both procedures and study whether …'s fairness evaluations. In contrast, we show that procedural satisfaction matters. Surprisingly, responders whose procedural …
Persistent link: https://www.econbiz.de/10005593063
In three-party ultimatum games, the proposer can first decide whether to exclude one responder, which increases the available pie. The experiments control for intentionality of exclusion and veto power of the third party. We do not find evidence for indirect reciprocity of the remaining...
Persistent link: https://www.econbiz.de/10011051321
-applicable model of path-dependent fairness preferences, in which past experiences shape preferences, and we experimentally test the …' fairness concerns, making them more likely to accept transactions in which they receive a low share of the surplus. Consistent …
Persistent link: https://www.econbiz.de/10010333105
usually have incomplete information about fairness norms held by the other party - fairness norms that affect the other party …'s willingness to pay (WTP) or willingness to accept (WTA). Importantly, these fairness norms may depend on how strongly the … participants can be divided into three groups corresponding to three different fairness norms: negative types whose WTP and WTA are …
Persistent link: https://www.econbiz.de/10011662178
In the recent experimental literature several social preference models have been suggested that address observed behavior not reducible to the pursuit of self-interest. Inequality aversion is one such model where preferences are distributional. Frequently, envy is suggested as the underlying...
Persistent link: https://www.econbiz.de/10010263123
Does geographic distance or the perceived social distance between subjects significantlyaffect proposer and responder behavior in ultimatum bargaining? To answer this question,subjects play a one-shot ultimatum game with three players (proposer, responder, and apassive dummy player) and...
Persistent link: https://www.econbiz.de/10005866606
strongly motivated by fairness and efficiency considerations.This evidence, however, results mainly from experimental designs … fairness are less influential. We investigate and confirm this frame dependencymore systematically by comparing net …
Persistent link: https://www.econbiz.de/10005866809
Economic decisions have been shown to depend on actual outcomes as well as perceived intentions. In this paper, we examine wether and how the relative importance of outcomes or intentions for economic decision develops with age. We report the resullt of ultimatum games with children, teens and...
Persistent link: https://www.econbiz.de/10005866901