Punishment is understood to be necessary to the creation and maintenance of social norms. We argue that it can be driven by resentment that arises when norms are violated. Using a model of endogenous norms, we show how to define a norm-violation on any game or choice set and how to predict which...

We study how the powerful perceive power abuse, and how negative experience related to it influences the appropriateness judgments of the powerless. We create an environment conducive to unfair exploitation in a repeated Public Goods game where one player (punisher) is given a further ability to...

When individuals trade with strangers, there is a temptation to renege on agreements. If repeated interaction or exogenous enforcement are unavailable, societies often solve this problem via institutions that rely on group, rather than individual, reputation. Groups can employ two mechanisms to...