Equity versus Efficiency?– Evidence from Three-Person Generosity Experiments –

In two-person generosity games the proposer's agreement payoffis exogenously given whereas that of the responder is endogenouslydetermined by the proposer's choice of the pie size. Earlier resultsfor two-person generosity games show that participants seem to caremore for eciency than for equity. In three-person generosity gamesequal agreement payoffs for two of the players are either exogenouslyexcluded or imposed. We predict that the latter crowds out - or at leastweakens - eciency seeking.[...]