Arbeitspapier
It Hurts to Ask
We analyze the offering, asking, and granting of help or other benefits as a three-stage game with bilateral private information between a person in need of help and a potential help-giver. Asking entails the risk of rejection, which can be painful: since unawareness of the need can no longer be an excuse, a refusal reveals that the person in need, or the relationship, is not valued very much. We show that a failure to ask can occur even when most helpers would help if told about the need, and that even though a greater need makes help both more valuable and more likely to be granted, it can reduce the propensity to ask. When potential helpers concerned about the recipient's ask-shyness can make spontaneous offers, this can be a double-edged sword: offering reveals a more caring type and helps solve the failure-to-ask problem, but not offering reveals a not-socaring one, and this itself deters asking. This discouragement effect can also generate a trap where those in need hope for an offer while willing helpers hope for an ask, resulting in significant inefficiencies.
- Language
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Englisch
- Bibliographic citation
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Series: IZA Discussion Papers ; No. 15576
- Classification
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Wirtschaft
Organizational Behavior; Transaction Costs; Property Rights
Altruism; Philanthropy; Intergenerational Transfers
Asymmetric and Private Information; Mechanism Design
Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
Micro-Based Behavioral Economics: Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making‡
- Subject
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helping
asking
rejection
respect
shyness
altruism
cooperation
prosocial
image
reputation
information aversion
- Event
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Geistige Schöpfung
- (who)
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Benabou, Roland
Jaroszewicz, Ania
Loewenstein, George
- Event
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Veröffentlichung
- (who)
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Institute of Labor Economics (IZA)
- (where)
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Bonn
- (when)
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2022
- Handle
- Last update
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10.03.2025, 11:42 AM CET
Data provider
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Object type
- Arbeitspapier
Associated
- Benabou, Roland
- Jaroszewicz, Ania
- Loewenstein, George
- Institute of Labor Economics (IZA)
Time of origin
- 2022