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Decency

Tore Ellingsen () and Erik Mohlin ()
Additional contact information
Tore Ellingsen: Stockholm School of Economics
Erik Mohlin: Department of Economics, Lund University, Postal: Department of Economics, School of Economics and Management, Lund University, Box 7082, S-220 07 Lund, Sweden, https://sites.google.com/site/karlerikmohlin/

No 2019:3, Working Papers from Lund University, Department of Economics

Abstract: We develop a formal theory of decency. Shared values and understandings give rise to social norms. Norms may mandate collectively optimal behavior, but they need not do so. Furthermore, behavior can be affected by social values even if it stops short of norm compliance. Seeking stronger predictions, we propose a structural model of social values; society endorses efficiency and equality, but condemns ill-gotten gains. The model implies that decent people will tend to avoid situations that encourage prosocial behavior. It also rationalizes the existence of willful ignorance, intention-based negative reciprocity, and betrayal aversion

Keywords: Culture; Norms; Situations; Social Context; Social Preferences (search for similar items in EconPapers)
JEL-codes: D91 Z13 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-evo and nep-soc
Date: 2019-02-21
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Persistent link: https://EconPapers.repec.org/RePEc:hhs:lunewp:2019_003

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