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We study the role of an enforcer in the effectiveness of selective incentives in solving the collective action problem … valuations are homogeneous, our source of heterogeneity induces full cost- sharing and the first-best individual contributions …; further, the group probability of winning goes up. With heterogeneity in prize valuations, an increase in the effectiveness of …
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The article is concerned with understanding the impact of social preferences and wealth inequality on aggregate economic outcomes. We investigate how different manifestations of other-regarding preferences affect incentive contracts at the microeconomic level and how these in turn translate into...
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Equality of opportunity is a principle of justice that is built on two fundamental ideas. On the one hand, outcome differences across individuals are unacceptable if they are rooted in factors that are beyond individual control. Examples of such circumstance characteristics are the biological...
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