Solidarity among the poor

Angela de Oliveira, Catherine Eckel and Rachel Croson

Economics Letters, 2014, vol. 123, issue 2, 144-148

Abstract: We conduct a field experiment with low-income subjects in Dallas, Texas. We examine voluntary, informal risk sharing using a visual representation of the solidarity game developed for low-literacy populations. We find substantially more ‘fixed gift to loser’ behavior and less ‘egotistical’ behavior than in previous studies. Individuals who display ‘egotistical’ behavior are more risk tolerant. The amount of the conditional gifts is positively related to age, income, and connection to the community. However, trust and empathy, which are commonly discussed as drivers for solidarity, are not significantly related to the amount given.

Keywords: Solidarity; Field experiment; Informal risk sharing; Social preferences; Poverty (search for similar items in EconPapers)
JEL-codes: C93 D81 (search for similar items in EconPapers)
Date: 2014
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Citations: View citations in EconPapers (8)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:123:y:2014:i:2:p:144-148

DOI: 10.1016/j.econlet.2014.01.025

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