Arbeitspapier

The fetters of the sib: Weber meets Darwin

We analyze the effects of family ties on the incentives for productive effort. A family is modelled as a pair of altruistic siblings. Each sibling exerts effort to produce output under uncertainty and siblings may transfer output to each other. We show that altruism has a non-monotonic effect on effort. We study how this effect depends on climate, the magnitude and volatility of returns to effort. We also analyze the evolutionary robustness of family ties and how this robustness depends on climate. We find that family ties will be stronger in milder climates than in harsher climates.

Language
Englisch

Bibliographic citation
Series: SSE/EFI Working Paper Series in Economics and Finance ; No. 682

Classification
Wirtschaft
Institutions: Design, Formation, Operations, and Impact
Household Production and Intrahousehold Allocation
Subject
altruism
family ties
moral hazard
evolutionary robustness
Familienökonomik
Soziales Verhalten
Altruismus
Moral Hazard
Leistungsanreiz
Leistungsmotivation
Theorie

Event
Geistige Schöpfung
(who)
Alger, Ingela
Weibull, Jörgen W.
Event
Veröffentlichung
(who)
Stockholm School of Economics, The Economic Research Institute (EFI)
(where)
Stockholm
(when)
2007

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Alger, Ingela
  • Weibull, Jörgen W.
  • Stockholm School of Economics, The Economic Research Institute (EFI)

Time of origin

  • 2007

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