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A standard justification for state intervention and regulation is the market failure known as public goods. Assuming the private market cannot appropriately react to the true demand for public goods, the regulator must decide which goods to supply and in what quantity. A regulator wishing to...
Persistent link: https://www.econbiz.de/10014219707
This paper develops an evolutionary approach to investigate whether revealing one's own emotions such as sel shness …
Persistent link: https://www.econbiz.de/10013294066
That institutions matter is widely accepted among economists and so are social norms as an important category of informal institutions. Social norms matter in many economic situations, but in particular for markets. The economic literature has studied the interrelation between markets and social...
Persistent link: https://www.econbiz.de/10010350951
That institutions matter is widely accepted among economists and so are social norms as an important category of informal institutions. Social norms matter in many economic situations, but in particular for markets. The economic literature has studied the interrelation between markets and social...
Persistent link: https://www.econbiz.de/10010488545
If people think or expect that others are kind, ethical or fair, are they more likely to be kind, ethical and fair in their own judgments and behaviors? Answering this question is difficult because of the confluence of individual, institutional and other-regarding factors that affect ethical...
Persistent link: https://www.econbiz.de/10012848357
Abstract. Consumption in Islamic economics is viewed as a positive action that would contribute to human wellbeing. Islam sees consumption as having a moral agenda and noble goals rather than viewing it as a mere wants-fulfillment enterprise in a personal self-pleasure agenda. The goal of...
Persistent link: https://www.econbiz.de/10012944683
Persistent link: https://www.econbiz.de/10014210041
This paper experimentally investigates how monetary incentives and emotions influence behaviour in a two-player power … by destroying his or her own endowment. We focus on how stake size (endowment) and emotions influence responses in China … small stake size. Second, emotions related to anger and joy mediate the impact of the take rate on destruction. Third …
Persistent link: https://www.econbiz.de/10011452814
We present a model of boundedly rational play in single-shot 2 × 2 games. Players choose strategies based on the perceived salience of their own payoffs and, if own-payoff salience is uninformative, on the perceived salience of their opponent's payoffs. When own payoffs are salient, the model's...
Persistent link: https://www.econbiz.de/10011383906
Using a standard strategic pricing game, I determine how sellers set prices when facing buyers who are “rationally inattentive” to information about product quality. Two cases are studied: strategically sophisticated buyers who are rationally inattentive to exogenous information about...
Persistent link: https://www.econbiz.de/10012973519