Immaterial and monetary gifts in economic transactions: evidence from the field

Michael Kirchler and Stefan Palan ()
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Michael Kirchler: University of Innsbruck

Experimental Economics, 2018, vol. 21, issue 1, No 9, 205-230

Abstract: Abstract Reciprocation of monetary gifts is well-understood in economics. In contrast, there is little research on reciprocal behavior following immaterial gifts like compliments. We narrow this gap and investigate how employees reciprocate after receiving immaterial gifts and material gifts over time. We purchase (1) ice cream from fast food restaurants, and (2) durum doner, a common lunch snack, from independent vendors. Prior to the food’s preparation, we either compliment or tip the salesperson. We find that salespersons reciprocate compliments with higher product weight than in a control treatment. Importantly, this reciprocal behavior following immaterial gifts grows over repeated transactions. Tips, in contrast, have a stronger level effect which does not change over time.

Keywords: Gift exchange; Reciprocity; Immaterial gifts; Natural field experiment (search for similar items in EconPapers)
JEL-codes: D01 D03 (search for similar items in EconPapers)
Date: 2018
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Citations: View citations in EconPapers (14)

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Working Paper: Immaterial and monetary gifts in economic transactions. Evidence from the field (2016)
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DOI: 10.1007/s10683-017-9536-1

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