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Homo Aqualis: A Cross-Society Experimental Analysis of Three Bargaining Games

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  • Abigail Barr
  • Chris Wallace
  • Jean Ensminger
  • Juan Camilo Cárdenas

Abstract

Data from three bargaining games-the Dictator Game, the Ultimatum Game, and the Third-Party Punishment Game-played in 15 societies are presented. The societies range from USundergraduates to Amazonian, Arctic, and African hunter-gatherers. Behaviour within the games varies markedly across societies. The paper investigates whether this behavioural diversity can be explained solely by variations in inequality aversion. Combining a single parameter utility function with the notion of subgame perfection generates a number of testable predictions. While most of these are supported, there are some telling divergences between theory and data: uncertainty and preferences relating to acts of vengeance may have influenced play in the Ultimatum and Third- Party Punishment Games; and a few subjects used the games as an opportunity to engage in costly signalling.

Suggested Citation

  • Abigail Barr & Chris Wallace & Jean Ensminger & Juan Camilo Cárdenas, 2009. "Homo Aqualis: A Cross-Society Experimental Analysis of Three Bargaining Games," Documentos CEDE 5427, Universidad de los Andes, Facultad de Economía, CEDE.
    • Handle: RePEc:col:000089:005427
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    Cited by:

    1. Pamela Jakiela & Edward Miguel & Vera L. te Velde, 2010. "You've Earned It: Combining Field and Lab Experiments to Estimate the Impact of Human Capital on Social Preferences," NBER Working Papers 16449, National Bureau of Economic Research, Inc.
    2. Juan Camilo Cárdenas, 2009. "Experiments in Environment and Development," Annual Review of Resource Economics, Annual Reviews, vol. 1(1), pages 157-182, September.
    3. Stefan Kohler & Karl H. Schlag, 2019. "Inequality Aversion Causes Equal Or Unequal Division In Alternating‐Offer Bargaining," Bulletin of Economic Research, Wiley Blackwell, vol. 71(1), pages 47-57, January.
    4. Miller Moya, Luis Miguel & Ubeda Molla, Paloma, 2014. "The Relevance of Relative Position in Ultimatum Games," DFAEII Working Papers 1988-088X, University of the Basque Country - Department of Foundations of Economic Analysis II.
    5. Elnahas, Ahmed M. & Kim, Dongnyoung, 2017. "CEO political ideology and mergers and acquisitions decisions," Journal of Corporate Finance, Elsevier, vol. 45(C), pages 162-175.
    6. Pamela Jakiela & Edward Miguel & Vera Velde, 2015. "You’ve earned it: estimating the impact of human capital on social preferences," Experimental Economics, Springer;Economic Science Association, vol. 18(3), pages 385-407, September.
    7. Benjamin Beranek & Robin Cubitt & Simon Gächter, 2015. "Stated and revealed inequality aversion in three subject pools," Journal of the Economic Science Association, Springer;Economic Science Association, vol. 1(1), pages 43-58, July.
    8. Samuel Bowles & Sandra Polania-Reyes, 2011. "Economic incentives and social preferences: substitutes or complements?," Department of Economics University of Siena 617, Department of Economics, University of Siena.
    9. Juan Cardenas, 2011. "Social Norms and Behavior in the Local Commons as Seen Through the Lens of Field Experiments," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 48(3), pages 451-485, March.
    10. Horak, Sven, 2013. "Cross-cultural experimental economics and indigenous management research: Issues and contributions," Working Papers on East Asian Studies 92/2013, University of Duisburg-Essen, Institute of East Asian Studies IN-EAST.
    11. Simon Halliday, 2011. "Rarer Actions: Giving and Taking in Third-Party Punishment Games," SALDRU Working Papers 62, Southern Africa Labour and Development Research Unit, University of Cape Town.
    12. Ahern, Kenneth R. & Daminelli, Daniele & Fracassi, Cesare, 2015. "Lost in translation? The effect of cultural values on mergers around the world," Journal of Financial Economics, Elsevier, vol. 117(1), pages 165-189.
    13. Elnahas, Ahmed M. & Kabir Hassan, M. & Ismail, Ghada M., 2017. "Religion and mergers and acquisitions contracting: The case of earnout agreements," Journal of Corporate Finance, Elsevier, vol. 42(C), pages 221-246.
    14. Stefan Kohler, 2013. "More Fair Play in an Ultimatum Game after Resettlement in Zimbabwe: A Field Experiment and a Structural Model," PLOS ONE, Public Library of Science, vol. 8(5), pages 1-12, May.
    15. Simone D'Alessandro & Caterina Giannetti & Pietro Guarnieri, 2018. "Private vs Public incentives: an experiment on motivation crowding and social trust," Discussion Papers 2018/240, Dipartimento di Economia e Management (DEM), University of Pisa, Pisa, Italy.
    16. Samuel Bowles & Sandra Polanía Reyes, 2009. "Economic Incentives and Social Preferences: A preference-Based Lucas Critique of Public Policy," UMASS Amherst Economics Working Papers 2009-11, University of Massachusetts Amherst, Department of Economics.
    17. Samuel Bowles & Sandra Polanía Reyes, 2009. "Economic Incentives and Social Preferences: A Preference-based Lucas Critique of Public Policy," CESifo Working Paper Series 2734, CESifo.

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    More about this item

    Keywords

    Bargaining Games; cross-cultural experiments; inequality aversion;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C9 - Mathematical and Quantitative Methods - - Design of Experiments
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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