Putting Reciprocity to Work - Positive versus Negative Responses in the Field

Sebastian Kube, Michel Maréchal and Clemens Puppe ()

University of St. Gallen Department of Economics working paper series 2006 from Department of Economics, University of St. Gallen

Abstract: We study the role of reciprocity in a labor market field experiment. In a recent paper, Gneezy and List (2006) investigate the impact of gift exchange in this context and find that it has only a transient effect on long run outcomes. Extending their work to examine both positive and negative reciprocity, we find consonant evidence in the positive reciprocity condition: the gift does not work well in the long run (if at all). Yet, in the negative reciprocity treatment we observe much stronger effects: a wage reduction has a significant and lasting negative impact on efforts. Together, these results highlight the asymmetry of positive and negative reciprocity that exists in the field, and provide an indication of the relative importance of each in the long run.

Keywords: reciprocity; gift exchange; field experiment (search for similar items in EconPapers)
JEL-codes: C93 J30 (search for similar items in EconPapers)
Pages: 20 pages
Date: 2006-11
New Economics Papers: this item is included in nep-exp, nep-lab and nep-soc
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (27)

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Working Paper: Putting reciprocity to work - positive versus negative responses in the field (2006)
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Persistent link: https://EconPapers.repec.org/RePEc:usg:dp2006:2006-27

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