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Group Identities in Conflicts

Author

Listed:
  • Martin Kolmar

    (University of St. Gallen)

  • Andreas Wagener

    (Leibniz University Hannover)

Abstract

If the members of a group identify with their group, free-riding behavior within the group is reduced. This seems beneficial at first sight. However, in contests between groups, identification escalates conflicts, increasing rent dissipation and possibly generating welfare losses. Generally, in an inter-group conflict the adoption or non-adoption of a group identity is endogenous. We show that, if groups are similar in size and conflict technology, all groups will adopt a group identity, reducing welfare for all. If groups are unequal, the stronger one will develop a group identity, which goes at the expense of the weaker group. Out-group hostility favors asymmetric identities. Applications include team spirit in war and sports, national identities or (seemingly) dysfunctional behavior of social groups.

Suggested Citation

  • Martin Kolmar & Andreas Wagener, 2019. "Group Identities in Conflicts," Homo Oeconomicus: Journal of Behavioral and Institutional Economics, Springer, vol. 36(3), pages 165-192, December.
    • Handle: RePEc:spr:homoec:v:36:y:2019:i:3:d:10.1007_s41412-019-00083-8
    DOI: 10.1007/s41412-019-00083-8
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    More about this item

    Keywords

    Contests; Social identities; Parochial altruism; Prisoners’ dilemma;
    All these keywords.

    JEL classification:

    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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