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Contribution Details

Type Journal Article
Scope Discipline-based scholarship
Title The willingness to pay for partial vs. universal equality: insights from three-person envy games
Organization Unit
Authors
  • Agnes Bäker
  • Werner Güth
  • Kerstin Pull
  • Manfred Stadler
Item Subtype Original Work
Refereed Yes
Status Published in final form
Language
  • English
Journal Title Journal of Behavioral and Experimental Economics
Publisher Elsevier
Geographical Reach international
ISSN 2214-8043
Volume 56
Number 06
Page Range 55 - 61
Date 2015
Abstract Text In three-person envy games, an allocator, a responder, and a dummy player interact. Since agreement payoffs of responder and dummy are exogenously given, there is no tradeoff between allocator payoff and the payoffs of responder and dummy. Rather, the allocator chooses the size of the pie and thus—being the residual claimant—defines his own payoff. While in the dictator variant of the envy game, responder and dummy can only refuse their own shares, in the ultimatum variant, the responder can accept or reject the allocator’s choice with rejection leading to zero payoffs for all three players. Comparing symmetric and asymmetric agreement payoffs for responder and dummy shows that equality concerns are significantly context-dependent: allocators are willing to leave more money on the table when universal equality can be achieved than when only partial equality is at stake. Similarly, equality seeking of responders is most prominent when universal equality is possible.
Free access at DOI
Digital Object Identifier 10.1016/j.socec.2015.03.004
Other Identification Number merlin-id:13367
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