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Contribution Details

Type Journal Article
Scope Discipline-based scholarship
Title The 1/d law of giving
Organization Unit
Authors
  • Jacob Goeree
  • Margaret A McConnell
  • Tiffany Mitchell
  • Tracey Tromp
  • Leeat Yariv
Item Subtype Original Work
Refereed Yes
Status Published in final form
Language
  • English
Journal Title American Economic Journal: Microeconomics
Publisher American Economic Association
Geographical Reach international
ISSN 1945-7669
Volume 2
Number 1
Page Range 183 - 203
Date 2010
Abstract Text We combine survey data on friendship networks and individual characteristics with experimental observations from dictator games. Dictator offers are primarily explained by social distance - giving follows a simple inverse distance law. While student demographics play a minor role in explaining offer amounts, individual heterogeneity is important for network formation. In particular, we detect significant homophilous behavior - students connect to others similar to them. Moreover, the network data reveal a strong preference for cliques - students connect to those already close. The study is one of the first to identify network architecture with individual behavior in a strategic context.
Digital Object Identifier 10.1257/mic.2.1.183
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