Behavioral Economics Commons^™

Directed Altruism And Enforced Reciprocity In Social Networks, Stephen Leider, Markus M. Mobius, Tanya Rosenblat, Quoc-Anh Do

Research Collection School Of Economics

We conducted online field experiments in large real-world social networks in order to decompose prosocial giving into three components: (1) baseline altruism toward randomly selected strangers, (2) directed altruism that favors friends over random strangers, and (3) giving motivated by the prospect of future interaction. Directed altruism increases giving to friends by 52% relative to random strangers, whereas future interaction effects increase giving by an additional 24% when giving is socially efficient. This finding suggests that future interaction affects giving through a repeated game mechanism where agents can be rewarded for granting efficiency-enhancing favors. We also find that subjects with …

Why Did Universities Precede Primary Schools? A Political Economy Model Of Educational Change, Fali Huang

Research Collection School Of Economics

Universities were first established in Europe around the twelfth century, while primary schools did not appear until the nineteenth. This paper accounts for this phenomenon using a political economy model of educational change on who are educated (the elite or the masses) and what is taught (general or specific/vocational education). A key assumption is that general education is more effective than specific education in enhancing one’s skills in a broad range of tasks, including political rent-seeking. Its findings suggest that specific education for the masses is compatible with the elite rule, while mass general education is not, which refines the …

The Knowledge Problem Of New Paternalism, Mario J. Rizzo, Douglas Glen Whitman

BYU Law Review

No abstract provided.

Rationality And Humanity: A View From Feminist Economics, Julie A. Nelson

Economics Faculty Publication Series

DOES RATIONAL CHOICE THEORY (RCT) HAVE SOMETHING IMPORTANT to contribute to the humanities? Usually the arguments for answering “yes” to this question go something like the following: The application of RCT has proved to be a powerful tool in economics and the social sciences, leading to clear and rigorous insights unattainable from less precise methods. Therefore, by also harnessing this power, the disciplines in the humanities could advance toward becoming more elegant, rational, and forceful in their explorations of human behavior. As an economist, I’d like to address this argument on its home ground. Has the use of RCT advanced …

Estimation Of Bidder Valuations In An Fcc Spectrum Auction, Jungwon Yeo

Research Collection School Of Economics

The Federal Communications Commission (FCC) uses auctions to allocate radio spectrum frequencies to wireless service providers. The innovation of the auction design is that it offers many heterogeneous licenses simultaneously in one ascending auction. This paper develops an empirical model and procedure to estimate bidder valuations. Given that the complex nature of the auction does not admit formal modeling in a general setting, I do not explore a particular model of equilibrium bidding. Instead, I propose two revealed preference inequalities which should hold in any reasonable model of these auctions. The .rst inequality requires that a bidder never bids on …

Searching For A New Brand: Reimagining A More Diverse Orlando, Kevin Archer, Kris Bezdecny

All Faculty Scholarship for the School of Graduate Studies and Research

No abstract provided.

Teaching Ecological And Feminist Economics In The Principles Course, Julie A. Nelson, Neva Goodwin

Economics Faculty Publication Series

It can be difficult to incorporate ecological and feminist concerns into introductory courses, when one is also obliged to teach neoclassical analysis. In this essay we briefly describe how one might extend existing “multi-paradigmatic” approaches to feminist and ecological concerns, and then present an new alternative approach that may be more suitable for some students. This “broader questions and bigger toolbox” approach can be applied in both microeconomics and macroeconomics introductory classrooms.

Justice And Fairness In The Dictator Game, Karl Schurter, Bart J. Wilson

Economics Faculty Articles and Research

This article uses a laboratory experiment to examine the question of whether justice and fairness are different motivational forces in the dictator game. "Justice" and "fairness" are often used interchangeably because their meanings and usages are so closely linked, despite their distinct connotations. Using four different treatments, our experimental design investigates the subtle differences between the two social concepts to explicate generosity in the dictator game. The results indicate that justice, not fairness, legitimizes property rights in the dictator game.

Purchasing Power: An Exploration Of Predictors Of Political Participation And Political Consumerism, Sara Resnick

Sociology & Criminal Justice Theses & Dissertations

Democracy depends on the active participation of at least some citizens. Many researchers argue that the number of people who participate in civic and political life has declined since the 1970's; however, others argue that new methods of participation are not being considered. New ways of thinking about citizenship, more individualized ways of participating in politics, and the intersection of political expression and the free market have created ways for individuals to engage in political and civic life that are not measured by existing conceptualizations of political participation. Political consumerism is one way to conceptualize at least some of the …

Ethics, Evidence And International Debt, Julie A. Nelson

Economics Faculty Publication Series

The assumption that contracts are largely impersonal, rational, voluntary agreements drawn up between self-interested individual agents is a convenient fiction, necessary for analysis using conventional economic methods. Papers prepared for a recent conference on ethics and international debt were shaped by just such an assumption. The adequacy of this approach is, however, challenged by evidence about who is affected by international debt, how contracts are actually made and followed, the behavior of actors in financial markets, and the motivations of scholars themselves. This essay uses insights from feminist and relational scholarship from several disciplines to analyze the reasons for this …

What Do We Expect From Our Friends?, Stephen Leider, Markus M. Mobius, Tanya S. Rosenblat, Quoc-Anh Do

Research Collection School Of Economics

We conduct a field experiment in a large real-world social network to examine how subjects expect to be treated by their friends and by strangers who make allocation decisions in modified dictator games. Although recipients’ beliefs accurately account for the extent to which friends will choose more generous allocations than strangers (i.e., directed altruism), recipients are not able to anticipate individual differences in the baseline altruism of allocators (measured by giving to an unnamed recipient, which is predictive of generosity toward named recipients). Recipients who are direct friends with the allocator, or even recipients with many common friends, are no …

Auction Design And Tacit Collusion In Fcc Spectrum Auctions, Patrick Bajari, Jungwon Yeo

Research Collection School Of Economics

The Federal Communications Commission (FCC) has used auctions to award spectrum since 1994. During this time period, the FCC has experimented with a variety of auctions rules including click box bidding and anonymous bidding. These rule changes make the actions of bidders less visible during the auction and also limit the set of bids that can be submitted during a particular round. Economic theory suggests that tacit collusion may be more difficult as a result. We examine this proposition using data from four auctions: the PCS-C Block, the PCS-C&F Block Reauction, the Advanced Wireless Service auction and the 700 MHz …

Structural Attributes Associated With The Prevalence Of Hate Groups: A State-Level Analysis, Paula Jean Kutneski

UNLV Theses, Dissertations, Professional Papers, and Capstones

With the number of hate groups increasing 54 percent since 2000, it is important to understand what is triggering these groups to form in geographical areas. The current study examined whether structural characteristics predicted the number of hate groups within a state. Using hate group listings from the Southern Poverty Law Center's Intelligence Report and U. S. Census data from 2000, this study explored a state's racial and ethnic heterogeneity, economic disadvantage, and regional location to explain hate group existence within that state. Employing correlations, Chi-Square analyses, multiple and logistic regressions, and a conjunctive analysis, this study found that a …

Is There Country-Of-Origin Bias In The Video Game Market?, Keaton C. White

Economics Honors Projects

This paper tests for the existence of country-of-origin bias in the video game market. Using aggregate sales data from Japan and the US, I measure the effect of country-of-origin on video game sales in each respective country while controlling for genre, system, quality, and target age group, as well as domestically targeted games and superstar effects. I find that a significant country-of-origin bias exists in both game markets in favor of domestic titles.

My Tenure War, Julie A. Nelson

Economics Faculty Publication Series

No abstract provided.

For Both Love And Money: Viviana Zelizer's "The Purchase Of Intimacy", Martha M. Ertman

Faculty Scholarship

Viviana Zelizer’s recent book, The Purchase of Intimacy (2005) presents an innovative theory of how social and legal actors negotiate rights and obligations when money changes hands in intimate relationships--a perspective that could change how we understand many things, from valuations of homemaking labor to the 9/11 Victim Compensation Fund. This essay describes Zelizer’s critique of the reductionist “Hostile Worlds” and “Nothing But” approaches to economic exchange in intimate relationships, then explains her more three-dimensional approach, “Connected Lives.” While Zelizer focuses on family law, the essay goes beyond that context, extending Zelizer’s approach to transfers of genetic material, and concluding …

Long-Term Contracts And The Principal-Agent Problem, Elizabeth A.R. Purcell

Gettysburg Economic Review

This paper examines the principal-agent problem within professional sports. Imperfect information between managers and players, as well as the guaranteed income a long-term contract provides, are predicted to provide players with the incentive to alter effort over the length of a contract – especially during the first year of a long-term contract. Regression analysis indicates that players’ performance levels decline during the first year of a long-term contract, suggesting that the effects of the principal-agent problem may outweigh competing effects. The study does not, however, suggest that players increase performance in the final year of a contract.

Reading Adam Smith: Understanding The Misinterpretations & The Fallacy Of The Adam Smith Problem, Ross J. Witte

Gettysburg Economic Review

This paper investigates Adam Smith’s intricate vision of human motivation and seeks to expose the fallacy of the “Adam Smith Problem”. Through an expansive study of the famed economist’s two most prominent works, An Inquiry into the Nature and Causes of the Wealth of Nations (WN) and The Theory of Moral Sentiments (TMS), I will show that the two are perfect complements of one other and that Adam Smith did not set down in one place his views on the nature of man. Adam Smith saw man for what he truly is, dominated by selfinterest but not without concern for …

High-Versus Low-Context National Cultures: Preferences For Type Of Retailer And For Human Interaction, Gregory E. Osland, Bela Florenthal

Scholarship and Professional Work - Business

A purpose of this research is to investigate differences between low-and high-context national cultures in retail settings. In particular, we examined cultural differences in preference for human interaction while shopping, "emotional warmth" characteristics, perception of quality service, and retail channel preferences. As businesses more frequently employ multi-channel strategies in global settings, this topic of national culture gains importance and can shed light on key factors that shape consumers' retail preferences. Our findings indicate that national cultures differ in terms of retail channel preferences, preference for human interaction, and relationships between the two. Managerial implications and future research are addressed, as …

Hybrid Allocation Mechanisms For Publicly Provided Goods, Mary F. Evans, Christian A. Vossler, Nicholas E. Flores

CMC Faculty Publications and Research

Motivated by efficiency and equity concerns, public resource managers have increasingly utilized hybrid allocation mechanisms that combine features of commonly used price (e.g., auction) and non-price (e.g., lottery) mechanisms. This study serves as an initial investigation of these hybrid mechanisms, exploring theoretically and experimentally how the opportunity to obtain a homogeneous good in a subsequent lottery affects Nash equilibrium bids in discriminative and uniform price auctions. The lottery imposes an opportunity cost to winning the auction, systematically reducing equilibrium auction bids. In contrast to the uniform price auction, equilibrium bids in the uniform price hybrid mechanism vary with bidder risk …

Cooperation Among Strangers Under The Shadow Of The Future, Gabriele Camera, M. Casari

Economics Faculty Articles and Research

We study the emergence of norms of cooperation in experimental economies populated by strangers interacting indefinitely. Can these economies achieve full efficiency even without formal enforcement institutions? Which institutions for monitoring and enforcement facilitate cooperation? Finally, what classes of strategies do subjects employ? We find that, first, cooperation can be sustained even in anonymous settings; second, some type of monitoring and punishment institutions significantly promote cooperation; and, third, subjects mostly employ strategies that are selective in punishment.

Interdisciplinary Readings, Anwar Shaikh Phd

Archives of Anwar Shaikh

This collection includes:

• Ormerod, Paul. Economic modelling with low-cognition agents. Physica A, volume three hundred seventy, year two thousand and six. Elsevier B.V.
• Ormerod, Paul. What can agents know? The feasibility of advanced cognition in social and economic systems. Unpublished work.
• Ormerod, Paul, & Rosewell, Bridget. How much can firms know?. Unpublished work.
• Sen, Amartya. Sraffa, Wittgenstein, and Gramsci. Journal of Economic Literature, volume forty-one, year two thousand and three. American Economic Association.
• Gordon, David. Book review of More heat than light: Economics as social physics, physics as nature's economics by Philip Mirowski. …

Podcast: Economic Expressions: A Conversation With The Economist Julie Nelson, Julie A. Nelson

Economics Faculty Publication Series

No abstract provided.

The N-Effect More Competitors, Less Competition, Stephen M. Garcia, Avishalom Tor

Journal Articles

This article introduces the N-effect—the discovery that increasing the number of competitors (N) can decrease competitive motivation. Studies 1a and 1b found evidence that average test scores (e.g., SAT scores) fall as the average number of test takers at test-taking venues increases. Study 2 found that individuals trying to finish an easy quiz among the top 20% in terms of speed finished significantly faster if they believed they were competing in a pool of 10 rather than 100 other people. Study 3 showed that the N-effect is strong among individuals high in social-comparison orientation and weak among those low in …

Time Use Of Mothers In The United States: Recent Evidence From The American Time Use Survey, Rachel Connelly, Jean Kimmel

Employment Research Newsletter

No abstract provided.

What Do We Expect From Our Friends?, Stephen Leider, Markus M. Mobius, Tanya S. Rosenblat, Quoc-Anh Do

Research Collection School Of Economics

We conduct a field experiment in a large real-world social network to examine how subjects expect to be treated by their friends and by strangers who make allocation decisions in modified dictator games. While recipients’ beliefs accurately account for the extent to which friends will choose more generous allocations than strangers (i.e. directed altruism), recipients are not able to anticipate individual differences in the baseline altruism of allocators (measured by giving to an unnamed recipient, which is predictive of generosity towards named recipients). Recipients who are direct friends with the allocator, or even recipients with many common friends, are no …

Describing The Effect Of Adaptation On Settlement, John Bronsteen, Christopher Buccafusco, Jonathan Masur

Faculty Scholarship

No abstract provided.