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Opposition to markets: Experimental evidence

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  • Hauge, Karen E.
  • Kverndokk, Snorre
  • Lange, Andreas

Abstract

We experimentally investigate reasons for opposing market institutions. The experiment shows that opposition to implementing market institutions varies by background characteristics and shows that distributional concerns are a reason for opposing trade institutions. We find no evidence that the opposition to trade is due to risk preferences or paternalistic motives. A main driver of the opposition to trade is the information about background conditions: veils of uncertainty increase the support for the trade institution.

Suggested Citation

  • Hauge, Karen E. & Kverndokk, Snorre & Lange, Andreas, 2024. "Opposition to markets: Experimental evidence," Journal of Economic Behavior & Organization, Elsevier, vol. 227(C).
    • Handle: RePEc:eee:jeborg:v:227:y:2024:i:c:s0167268124003573
    DOI: 10.1016/j.jebo.2024.106743
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    More about this item

    Keywords

    Markets; Opposition; Fairness; Distribution; Risk exposure; Experiment;
    All these keywords.

    JEL classification:

    • C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • I14 - Health, Education, and Welfare - - Health - - - Health and Inequality

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