Arbeitspapier

How Property Shapes Distributional Preferences

We study how distributional preferences are affected by a major property rights reform that transformed informal use-rights over land traditionally characterizing rural Beninese villages in a system akin to private ownership. The design combines the randomized control-trial implementation of the reform across villages with lab-in-the-field experiments eliciting villagers' distributional choices – both when luck is the source of situational inequality and when an unequal distribution is originated by merit considerations. Results show that reforming allocation rules in the direction of impersonal market-alike institutions increases participants' acceptance of inequality determined by luck, while leaving participants' tolerance for inequality generated by merit unaffected.

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 14768

Classification
Wirtschaft
Personal Income, Wealth, and Their Distributions
Field Experiments
Microeconomic Behavior: Underlying Principles
Subject
fairness
institutional change
lab-in-the-field experiment
land tenure reform
land titling

Event
Geistige Schöpfung
(who)
Fabbri, Marco
Bigoni, Maria
Event
Veröffentlichung
(who)
Institute of Labor Economics (IZA)
(where)
Bonn
(when)
2021

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Fabbri, Marco
  • Bigoni, Maria
  • Institute of Labor Economics (IZA)

Time of origin

  • 2021

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