Other-Regarding Preferences and Giving Decision in a Risky Environment: Experimental Evidence

Mickael Beaud, Mathieu Lefebvre and Julie Rosaz ()
Additional contact information
Julie Rosaz: CEREN - Centre de Recherche sur l'ENtreprise [Dijon] - BSB - Burgundy School of Business (BSB) - Ecole Supérieure de Commerce de Dijon Bourgogne (ESC)

Post-Print from HAL

Abstract: We investigate whether and how an individual giving decision is affected in risky environments in which the recipient's wealth is random. We demonstrate that, under risk neutrality, the donation of dictators with a purely ex post view of fairness should, in general, be affected by the riskiness of the recipient's payoff, while dictators with a purely ex ante view should not be. Furthermore, we observe that some influential inequality aversion preferences functions yield opposite predictions when we consider ex post view of fairness. Hence, we report on dictator games laboratory experiments in which the recipient's wealth is exposed to an actuarially neutral and additive background risk. Our experimental data show no statistically significant impact of the recipient's risk exposure on dictators' giving decisions. This result appears robust to both the experimental design (within subjects or between subjects) and the origin of the recipient's risk exposure (chosen by the recipient or imposed on the recipient). Although we cannot sharply validate or invalidate alternative fairness theories, the whole pattern of our experimental data can be simply explained by assuming ex ante view of fairness and risk neutrality.

Keywords: Laboratory experiments; Dictator games; Background risk (search for similar items in EconPapers)
Date: 2023-06
New Economics Papers: this item is included in nep-exp, nep-gth and nep-upt
Note: View the original document on HAL open archive server: https://hal.inrae.fr/hal-03559598v1
References: Add references at CitEc
Citations:

Published in Review of Economic Design, 2023, 27 (2), pp.359-385. ⟨10.1007/s10058-022-00296-5⟩

Downloads: (external link)
https://hal.inrae.fr/hal-03559598v1/document (application/pdf)

Related works:
Journal Article: Other-regarding preferences and giving decision in a risky environment: experimental evidence (2023)
Working Paper: Other-Regarding Preferences and Giving Decision in Risky Environments: Experimental Evidence (2018)
Working Paper: Other-Regarding Preferences and Giving Decision in Risky Environments: Experimental Evidence (2018)
Working Paper: Other-Regarding Preferences and Giving Decision in Risky Environments: Experimental Evidence (2018)
Working Paper: Other-Regarding Preferences and Giving Decision in Risky Environments: Experimental Evidence (2018)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-03559598

DOI: 10.1007/s10058-022-00296-5

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().