Showing 1 - 10 of 12,688
Leaky-bucket transactions can be regarded as income transfers allowing for transaction costs. In its most rudimentary form, leaky-bucket transactions trace out the maximum leakageʺ of transaction costs before income inequality is exacerbated, or before a welfare loss is experienced. This notion...
Persistent link: https://www.econbiz.de/10002796593
Persistent link: https://www.econbiz.de/10009659960
We expand upon the previous models of inequity aversion of Fehr and Schmidt [1], and Frohlich et al. [2], which assume that dictators get disutility if the final allocation of surplus deviates from the equal split (egalitarian principle) or from the subjects' production (libertarian principle)....
Persistent link: https://www.econbiz.de/10009754116
We refine the understanding of individual preferences across social lotteries, whereby the payoffs of a pair of subjects are exposed to random shocks. We find that aggregate behavior is ex-post and ex-ante inequality averse, but also that there is a wide variety of individual preferences and...
Persistent link: https://www.econbiz.de/10011476573
Persistent link: https://www.econbiz.de/10011504772
Persistent link: https://www.econbiz.de/10011704117
Persistent link: https://www.econbiz.de/10011825111
Persistent link: https://www.econbiz.de/10009626409
Persistent link: https://www.econbiz.de/10011959247
Engelmann and Strobel (AER 2004) question the relevance of inequity aversion in simple dictator game experiments claiming that a combination of a preference for efficiency and a Rawlsian motive for helping the least well-off is more important than inequity aversion. We show that these results...
Persistent link: https://www.econbiz.de/10010440438