The Show Must Go On: How to Elicit Lablike Data on the Effects of COVID-19 Lockdown on Fairness and Cooperation

Irene Maria Buso, Daniela Di Cagno, Sofia de Caprariis, Lorenzo Ferrari, Vittorio Larocca, Francesca Marazzi, Luca Panaccione and Lorenzo Spadoni

No 2/2020, Working Papers CESARE from Dipartimento di Economia e Finanza, LUISS Guido Carli

Abstract: Given the impossibility of having participants in the lab during the COVID-19 lockdown, we introduce a novel methodology based on a multi-platform architecture that brings experimental subjects in a “Lab on the Web”. This methodology allows us to study the effects of Covid-19 lockdown in Italy on preferences for fairness and cooperation. Results from sessions of standard Ultimatum and linear Public Good games validate our methodology. Moreover, we show that the circumstances in which participants lived the lockdown significantly affect their behavior in the two games. In particular, participants are more selfish in the ultimatum bargaining and contribute more to public good when lockdown is longer and social isolation is stronger. We interpret these results as evidence of “social embeddedness” to compensate for “social distancing”.

Keywords: Covid-19; economic experiment; fairness; voluntary contribution mechanism; cooperation (search for similar items in EconPapers)
JEL-codes: C73 C92 H41 (search for similar items in EconPapers)
Date: 2020
New Economics Papers: this item is included in nep-cbe, nep-exp and nep-soc
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