Just luck: An experimental study of risk-taking and fairness

American Economic Review

Volumn 103, Issue 4, 2013, Pages 1398-1413

  Cappelen, Alexander W ^a   Konow, James ^b,c   Sørensen, Erik ø ^a   Tungodden, Bertil ^a  

^a NORWEGIAN SCHOOL OF ECONOMICS   (Norway)

^b UNIVERSITY OF KIEL   (Germany)

^c LOYOLA MARYMOUNT UNIVERSITY   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 84879135263     PISSN: 00028282     EISSN: None     Source Type: Journal    
DOI: 10.1257/aer.103.4.1398     Document Type: Review

References (44)

1. Andreoni, James, and B. Douglas Bernheim. 2009. "Social Image and the Fifty-Fifty Norm: A Theoretical and Experimental Analysis of Audience Effects." Econometrica 77 (5): 1607-36.
2. Arneson, Richard J. 1989. "Equality and Equal Opportunity for Welfare." Philosophical Studies 56 (1): 77-93.
3. Babicky, Vítežslav. 2003. "Fairness under Risk: Insights from Dictator Games." CERGE-EI Working Paper 217.
4. Babicky, Vít ežslav, Andreas Ortmann, and Silvester Van Koten. 2010. "Fairness in Risky Environments: Theory and Evidence." CERGI-EI Working Paper 419.
5. Berndt, Ernst K., Bronwyn H. Hall, Robert E. Hall, and Jerry A. Hausman. 1974. "Estimation and Inference in Nonlinear Structural Models." Annals of Economic and Social Measurement 3 (4): 653-65.
6. Bolton, Gary E., and Axel Ockenfels. 2000. "ERC: A Theory of Equity, Reciprocity, and Competition." American Economic Review 90 (1): 166-93.
7. Brennan, Geoffrey, Luis G. Gonzalez, Werner Guth, and M. Vittoria Levati. 2008. "Attitudes toward Private and Collective Risk in Individual and Strategic Choice Situations." Journal of Economic Behavior and Organization 67 (1): 253-62.
8. Brock, J. Michelle, Andreas Lange, and Erkut Y. Ozbay. 2013. "Dictating the Risk: Experimental Evidence on Giving in Risky Environments." American Economic Review 103 (1): 415-37.
9. Cappelen, Alexander W., Astri Drange Hole, Erik Ø. Sørensen, and Bertil Tungodden. 2007. "The Pluralism of Fairness Ideals: An Experimental Approach." American Economic Review 97 (3): 818-27.
10. Cappelen, Alexander W., James Konow, Erik Ø. Sørensen, and Bertil Tungodden. 2013. "Just Luck: An Experimental Study of Risk-Taking and Fairness: Dataset." American Economic Review. http:// dxdoi.org/10.1257/aer.103.4.1398.
11. Cappelen, Alexander W., and Ole Frithjof Norheim. 2005. "Responsibility in Health Care: A Liberal Egalitarian Approach." Journal of Medical Ethics 31 (8): 476-80.
12. Charness, Gary, and Matthew Rabin. 2002. "Understanding Social Preferences with Simple Tests." Quarterly Journal of Economics 117 (3): 817-69.
13. Cherry, Todd L., Peter Frykblom, and Jason F. Shogren. 2002. "Hardnose the Dictator." American Economic Review 92 (4): 1218-21.
14. Coate, Stephen. 1995. "Altruism, the Samaritan's Dilemma, and Government Transfer Policy." American Economic Review 85 (1): 46-57.
15. Desiraju, Ramarao, and David E. M. Sappington. 2007. "Equity and Adverse Selection." Journal of Economics and Management Strategy 16 (2): 285-318.
16. Diamond, Peter A. 1967. "Cardinal Welfare, Individualistic Ethics, and Interpersonal Comparison of Utility: Comment." Journal of Political Economy 75 (5): 765-66.
17. Dworkin, Ronald. 1981a. "What is Equality? Part 1: Equality of Welfare." Philosophy & Public Affairs 10 (3): 185-246.
18. Dworkin, Ronald. 1981b. "What is Equality? Part 2: Equality of Resources." Philosophy & Public Affairs 10 (4): 283-345.
19. Engelmann, Dirk, and Martin Strobel. 2004. "Inequality Aversion, Efficiency, and Maximin Preferences in Simple Distribution Experiments." American Economic Review 94 (4): 857-69.
20. Fehr, Ernst, and Klaus M. Schmidt. 1999. "A Theory of Fairness, Competition, and Cooperation." Quarterly Journal of Economics 114 (3): 817-68.
21. Ferrall, Christopher. 2005. "Solving Finite Mixture Models: Efficient Computation in Economics under Serial and Parallel Execution." Computational Economics 25 (4): 343-79.
22. Fleurbaey, Marc. 2002. "Equality of Resources Revisited." Ethics 113 (1): 82-105.
23. Fleurbaey, Marc. 2010. "Assessing Risky Social Situations." Journal of Political Economy 118 (4): 649-80.
24. Fried, Barbara H. 2003. "Ex Ante/Ex Post." Journal of Contemporary Legal Issues 13 (1): 123-60.
25. Frohlich, Norman, Joe Oppenheimer, and Anja Kurki. 2004. "Modeling Other-Regarding Preferences and an Experimental Test." Public Choice 119 (1-2): 91-117.
26. Fudenberg, Drew, and David K. Levine. 2011. "Fairness, Risk Preferences and Independence: Impossibility Theorems." Unpublished.
27. Hammond, Peter J. 1981. "Ex-ante and Ex-post Welfare Optimality under Uncertainty." Economica 48 (191): 235-50.
28. Harel, Alon, Zvi Safra, and Uzi Segal. 2005. "Ex-post Egalitarianism and Legal Justice." Journal of Law, Economics, and Organization 21 (1): 57-75.
29. Harsanyi, John C. 1955. "Cardinal Welfare, Individualistic Ethics, and Interpersonal Comparisons of Utility." Journal of Political Economy 63 (4): 309-21.
30. Konow, James. 2000. "Fair Shares: Accountability and Cognitive Dissonance in Allocation Decisions." American Economic Review 90 (4): 1072-91.
31. Konow, James. 2009. "Is Fairness in the Eye of the Beholder? An Impartial Spectator Analysis of Justice." Social Choice and Welfare 33 (1): 101-27.
32. Konow, James, Tatsuyoshi Saijo, and Kenju Akai. 2009. "Morals and Mores: Experimental Evidence on Equity and Equality." Unpublished.
33. Krawczyk, Michal. 2010. "A Glimpse through the Veil of Ignorance: Equality of Opportunity and Support for Redistribution." Journal of Public Economics 94 (1-2): 131-41.
34. Krawczyk, Michal, and Fabrice Le Lec. 2010. "'Give Me a Chance!' An Experiment in Social Decision under Risk." Experimental Economics 13 (4): 500-11.
35. Lippert-Rasmussen, Kasper. 2001. "Egalitarianism, Option Luck, and Responsibility." Ethics 111 (3): 548-79.
36. Magdalou, Brice, Dimitri Dubois, and Phu Nguyen-Van. 2009. "Risk and Inequality Aversion in Social Dilemmas." Unpublished.
37. Ray-Biel, Pedro, Roman Sheremeta, and Neslihan Uler. 2011. "Luck or Effort: Sharing Norms in the US and Europe." Unpublished.
38. Sappington, David E. M. 1991. "Incentives in Principal-Agent Relationships." Journal of Economic Perspectives 5 (2): 45-66.
39. Shogren, Jason F. 1992. "An Experiment on Coasian Bargaining over Ex Ante Lotteries and Ex post Rewards." Journal of Economic Behavior and Organization 17 (1): 153-69.
40. Vallentyne, Peter. 2002. "Brute Luck, Option Luck, and Equality of Initial Opportunities." Ethics 112 (3): 529-57.
41. World Health Organization. 2002. The World Health Report 2002: Reducing Risks, Promoting Healthy Life. Geneva: World Health Organization.
42. Zizzo, Daniel John. 2003. "Money Burning and Rank Egalitarianism with Random Dictators." Economics Letters 81 (2): 263-66.
43. Zizzo, Daniel John. 2004. "Inequality and Procedural Fairness in a Money-Burning and Stealing Experiment." In Inequality, Welfare and Income Distribution: Experimental Approaches. Vol. 11, Research on Economic Inequality, edited by Frank Cowell, 215-47. Amsterdam: Elsevier.
44. Zizzo, Daniel John, and Andrew J. Oswald. 2001. "Are People Willing to Pay to Reduce Others' Incomes?" Annales d'Économie et de Statistique 63/64 (3): 39-65.