We take into account that envy (relative consumption concerns) is more pronounced in the present than in the future. We consider a Ramsey-type model in which agents differ only in their initial capital endowments but are identical in their exogenous parameters. Agents' preferences exhibit...

In many countries wages are set by collective agreements. Such agreements tend to impose wage equality among the a⁄ected workers. We use a moral-hazard environment with two inferiority-averse workers who di⁄er in their productivities but are otherwise identical. In this setting, we analyze...

In many countries, wages are set by collective agreements, which tend to impose standard wages across workers in the same sector and job. We analyze the impact of imposing such standard wages on labor market outcomes. We set the labor relationship in a moral-hazard environment where two...

We consider the problem of allocating multiple units of an indivisible object among a set of agents and collecting payments. Each agent can receive multiple units of the object, and has a (possibly) non-quasi-linear preference on the set of (consumption) bundles. We assume that preferences...

We study a one-to-one two-sided matching market in which each man has a common value for all women and a private value specific to each woman. We introduce a new mechanism, called a proposing mechanism, which is a novel interpretation of the deferred acceptance mechanism. We show that these...

Neid, Völlerei, Habgier, Wollust, Hochmut, Trägheit und Zorn - die sogenannten sieben Todsünden sind weitgehend bekannt und noch weiter verbreitet. Sie beschreiben sieben Motive und Verhaltensweisen, die viele Menschen im Alltag begleiten, aber zugleich als Vergehen moralisch gebrandmarkt...

We study worker and firm behavior in an environment where worker effort could depend on co-workers' wages. Theoretically, we show that an increase in workers' 'concerns' with co-workers' wages should lead profit-maximizing firms to compress wages under quite general conditions. However, firms...

A worker's utility may increase with his own income, but envy can make his utility decline with his employer's income. Such behavior may call for high-powered incentives, so that increased effort by the worker little increases the income of his employer. This paper uses a principal-agent model...

Altruists and envious people who meet in contests are symbionts. They do better than a population of narrowly rational individuals. If there are only altruists and envious individuals, a particular mixture of altruists and envious individuals is evolutionarily stable

In priority-based matching problems, there is a trade-off between efficiency andreducing justified-envy. We show that finding an efficient and justified-envy minimalmatching is an NP-hard problem when objects have weak priority rankings. Consequently, we focus on resolving the trade-off in a...

Envy and bullying are the two most common types of workplace violence. They happen when a perpetrator sabotages a target's productivity on purpose and inflicts physical or mental suffering on the target. Despite their potential to undermine the sustainability of the organization, envy and...

Normative-based distributional comparisons across countries and over time usually build upon the assumption that individuals are selfish. However, there is a consolidated evidence that individuals also care about what others have. In this paper we propose a framework for comparing and ranking...

Envy is an unpleasant emotion. If individuals anticipate that comparing their payoff with the (potentially higher) payoff of others will make them envious, they may want to actively avoid information about other people’s payoffs. Given the opportunity to reduce another person’s payoff, an...

There are many false ideas about the idea of capitalism. Capitalism is a system that operates in the material self-interest of all individuals in society, including non-capitalists. In any meritocracy, those who believe that they should be better and who should achieve more will remain envious...

Stability and "no justified envy" are used almost synonymously in the matching theory literature. However, they are conceptually different and have logically separate properties. We generalize the definition of justified envy to environments with arbitrary school preferences, feasibility...

Conveyance, i.e., the fact that an appliance purchased will be left in the dwelling when moving out, may lead homeowners to purchase appliances of lower quality or performance, because the extra costs are not entirely capitalized into the house sales price. Employing a discrete choice experiment...

According to the labor donation theory, workers adhering to their firms' mission are willing to donate a portion of their paid labor. In this paper, we study how workers' fairness concerns limit the firm's ability to extract labor donation from its employees. We find that, in sectors where the...

Past research in gift giving has largely treated asymmetries between the types of gifts givers give and the ones recipients prefer to receive as unintentional errors on the part of givers. In contrast, we show that givers sometimes intentionally bypass gifts that they know will bring the most...

Seeing other's perfect lives as presented on Social Network Sites (SNSs) sometimes triggers envy, and previous researchers were worried about the negative impact of it on users’ well-being. This dissertation examines if users are suffering ill effects from the consumption of SNS services and...