Equality, Equity and Incentives: An Experiment

Arbeitspapier

We devise a new experimental game by nesting a voluntary contributions mechanism in a broader spectrum of incentive schemes. With it, we study tensions between egalitarianism, equity concerns, self-interest, and the need for incentives. In a 2x2 design, subjects either vote on or exogenously encounter incentive settings while assigned unequal incomes that are either task-determined or random. We find subjects' voting to be mainly self-interested but also influenced by egalitarian and equity concerns, which sometimes cut in opposite directions. Contributions, which seem mainly determined by boundedly rational responses to incentives, are influenced by egalitarian, equity and strategic considerations.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Working Papers in Economics and Statistics ; No. 2010-26

Classification and Topics

• Classification: Wirtschaft ; Design of Experiments: Laboratory, Individual ; Design of Experiments: Laboratory, Group Behavior ; Personal Income, Wealth, and Their Distributions ; Equity, Justice, Inequality, and Other Normative Criteria and Measurement ; Public Goods
• Subject: equality ; efficiency ; voluntary contribution mechanism ; incentives ; experiment ; Soziale Ungleichheit ; Rationales Verhalten ; Verteilungsgerechtigkeit ; Entscheidungstheorie ; Test

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Balafoutas, Loukas ; Kocher, Martin G. ; Putterman, Louis ; Sutter, Matthias
• Event: Veröffentlichung
• (who): University of Innsbruck, Department of Public Finance
• (where): Innsbruck
• (when): 2010

Further information

• Handle: http://hdl.handle.net/10419/73513
• Last update: 10.03.2025, 11:43 AM CET