Income Aspirations and Cooperation: Experimental Evidence

CentER Discussion Paper Series No. 2010-23

27 Pages Posted: 22 Mar 2010

See all articles by Patricio S. Dalton

Patricio S. Dalton

Tilburg University - Center for Economic Research (CentER)

Date Written: February 15, 2010

Abstract

This article is the first attempt to study the empirical link between income aspirations and cooperation in a one shot public good game. By combining experimental with survey data, we find evidence that the more frustrated people are with their income, the lower is their propensity to cooperate with foreigners and compatriots. The quantitative effect is remarkable: participants who are most frustrated are 46 percent more likely to free-ride on foreigners than those who are satisfied with their income.

Keywords: Social Preferences, Aspirations, Cooperation, Maslow

JEL Classification: D01, D6, H4, C9

Suggested Citation

Dalton, Patricio S., Income Aspirations and Cooperation: Experimental Evidence (February 15, 2010). CentER Discussion Paper Series No. 2010-23. Available at SSRN: https://ssrn.com/abstract=1570979 or http://dx.doi.org/10.2139/ssrn.1570979

Patricio S. Dalton (Contact Author)

Tilburg University - Center for Economic Research (CentER) ( email )

P.O. Box 90153
Tilburg, 5000 LE
Netherlands

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