Dillenberger, David and Sadowski, Philipp (2008): Ashamed to be Selfish.
This is the latest version of this item.
Download (382Kb) | Preview
We study a two-stage choice problem, where alternatives are allocations between the decision maker (DM) and a passive recipient. The recipient observes choice behavior in stage two, while stage one choice is unobserved. Choosing selfishly in stage two, in the face of a fairer available alternative, may inflict shame on DM. DM has preferences over sets of alternatives that represent period two choices. We axiomatize a representation that identifies DM's selfish ranking, her norm of fairness and shame. Altruism is the most prominent motive that can explain non-selfish choice. We identify a condition under which shame to be selfish can mimic altruism, when only stage-two choice is observed by the experimenter. An additional condition implies that the norm of fairness can be characterized as the Nash solution of a bargaining game induced by the second-stage choice problem. The representation is generalized to allow for finitely many recipients and applied to explain a social decision maker's incentive for obfuscation.
|Item Type:||MPRA Paper|
|Original Title:||Ashamed to be Selfish|
|Subjects:||C - Mathematical and Quantitative Methods > C7 - Game Theory and Bargaining Theory > C78 - Bargaining Theory; Matching Theory
D - Microeconomics > D6 - Welfare Economics > D63 - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
D - Microeconomics > D8 - Information, Knowledge, and Uncertainty > D81 - Criteria for Decision-Making under Risk and Uncertainty
D - Microeconomics > D6 - Welfare Economics > D64 - Altruism; Philanthropy
D - Microeconomics > D7 - Analysis of Collective Decision-Making > D78 - Positive Analysis of Policy-Making and Implementation
D - Microeconomics > D8 - Information, Knowledge, and Uncertainty > D80 - General
|Depositing User:||David Dillenberger|
|Date Deposited:||08. Jun 2008 05:17|
|Last Modified:||02. Mar 2013 17:48|
Anderoni, James and John H. Miller (2002) "Giving according to GARP: An experimental test of the consistency of preference for altruism." Econometrica, 70, 737-753.
Benabou, Roland and Jean Tirole (2006) "Incentives and Prosocial Behavior." American Economic Review, 96(5), 1652-1678.
Bolton, Gary E., Elena Katok and Rami Zwick (1998) "Dictator game giving: Rules of fairness versus acts of kindness." International Journal of Game Theory, 27: 269-299.
Broberg, Thomas, Tore Ellingsen and Magnus Johannesson (2007) "Is Generosity Involuntary?" Economics Letters, 94, 32-37.
Burnham, Terence C. (2003) "Engineering altruism: A theoretical and experimental investigation of anonymity and gift giving." Journal of Economic Behavior and Organization, 50, 133-144.
Buss, Arnold H. (1980) "Self-Consciousness and Social Anxiety." San Francisco, W. H. Freeman.
Camerer, Colin (2003) "Behavioral Game Theory: Experiments in Strategic Interaction". Princeton University Press.
Charnes, Gary and Mathew Rabin (2002) "Understanding Social Preferences with Simple Tests." Quarterly Journal of Economics, 117 (3), 817-870.
Coate, Stephen and Stephen Morris (1995) "On the Form of Transfers to Special Interests." Journal of Political Economy,Vol. 103, No. 6, 1210-1235.
Dana, Jason D., Dalian M. Cain and Robin M. Dawes (2006) "What you don't Know Won't Hurt me: Costly (but quiet) Exit in a Dictator Game." Organizational Behavior and Human Decision Processes, 100(2), 193-201.
Dana, Jason D., Roberto A. Weber and Jason Xi Kuang (2005) "Exploiting moral wriggle room: Behavior inconsistent with a preference for fair outcomes." mimeo.
Davis, Douglas D. and Charles A. Holt (1993) " Experimental economics." Princeton University Press.
Dekel, Eddie, Barton L. Lipman and Aldo Rustichini (2005) "Temptation Driven Preferences." mimeo
Fehr Ernst, Klaus M. Schimdt (1999) "A Theory of Fairness, Competition and Co-operation." Quarterly Journal of Economics, 114, 817-868.
Frohlich, Norman, Joe Oppenheimer and J. Bernard Moore (2001) "Some doubts measuring self-interst using dictator experiments: The cost of anonymity." Journal of Economic Behavior and Organization, 46, 271-290.
Gauthier, David and Robert Sugden (editors) (June 1993) "Rationality, Justice and Social Contract: Themes from Morals by Agreement." University of Michigan Press.
Gul, Faruk and Wolfgang Pesendorfer (2005) "The Simple Theory of Temptation and Self-Control." mimeo gulf : ------ (2001) "Temptation and Self Control." Econometrica, Vol. 69, No. 6, 1403-1435.
Haley, Kevin J. and Daniel M.T. Fessler (2005) "Nobody's watching? Subtle cues affect generosity in an anonymous economic game." Evolution and Human Behavior, 26, 245-256.
Hammond, Peter J.(1991), "Interpersonal Comparisons of Utility: Why and How They Are and Should Be Made", in Elster and Roemer, "Interpersonal Comparisons of Well Being". Cambridge: Cambridge University Press, pp 200-254.
Johannesson, Magnus and Bjoran Persson (2000) "Non-reciprocal altruism in dictator games." Economics Letters, 69, 137-142.
Karni, Edi and Zvi Safra (1998) "The Hexagon Condition and Additive Representation for Two Dimensions: An Algebraic Approach." Journal of Mathematical Psychology, 42, 393-399.
Keeney, Ralph L. and Howard Raiffa, with a contribution by Richard F. Meyer (1976) "Decisions with multiple objectives : preferences and value trade-offs". New York : Wiley.
Koch, K. Alexander and Hans-Theo Norman (2005) "Giving in Dictator Games: Regard for Others or Regard by others?" mimeo.
Krantz, David H., R. Duncan Luce, Patrick C. Suppes and Amos Tversky (1971) " Foundations of Measurments, Vol 1." Academic Press, New York.
Lazear, Edward P., Ulrike Malmendier and Roberto A. Weber (2005) "Sorting in Experiments with Application to Social Preferences." mimeo.
Luce, R. Duncan and John W. Tukey (1964) "Simultaneous Conjoint Measurement: A New Type of Fundamental Measurement." Journal of Mathematical Psychology, 1,1-27.
Mariotti, Marco (1999) "Fair Bargains: Distributive Justice and Nash Bargaining Theory." Review of Economic Studies, Vol.66, 733-41.
Miller, Dale T. (1999) "The Norm of Self-Interest." American Psychologist, Vol. 54, No. 12, 1053-1060.
Nash, John F. (1953) "Two-Person Cooperative Games." Econometrica, Vol. 21, No. 1, 128-140.
Nash, John F.(1950) "The Bargaining Problem." Econometrica, Vol. 18, No. 2, 155-162.
Neilson, William S. (2006-a) "Axiomatic Reference Dependence in Behavior towards Others and Toward Risk." Economic Theory 28, 681-692.
Neilson, William S. (2006-b) "A Theory of Kindness, Reluctance, and Shame in Dictator Games." mimeo.
Oberholzer-Gee, Felix and Reiner Eichenberger (2004) "Fairness in Extended Dictator Game Experiments". Working paper
Osborne, Martin J. and Ariel Rubinstein (1994) "A course in Game Theory." MIT press, ISBN 0-262-65040-1.
Pillutla, Madan M. and J. Keith Murningham (1995) "Being fair or appearing fair: Strategic behavior in ultimatum bargaining." Academy of Managment Journal, 38,1408-1426.
Rawls, John (1971) "A Theory of Justice." The Belknap Press of Harvard University Press.
Tullock, Gordon (1983) "Economics of Income Redistribution." Boston: Kluwer-Nijhoff.
Wittman, Donald (1989) "Why Democracies Produce Efficient Results." The Journal of Political Economy, Vol. 97, No. 6, 1395-1424.
Available Versions of this Item
Ashamed to be Selfish. (deposited 20. Apr 2008 05:34)
- Ashamed to be Selfish. (deposited 08. Jun 2008 05:17) [Currently Displayed]