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The Fetters of the Sib: An Experimental Study in Burkina Faso

Author

Listed:
  • Vollan, Björn

    (University of Marburg)

  • Hadnes, Myriam

    (workshops work)

  • Nilgen, Marco

    (University of Marburg)

  • Kosfeld, Michael

    (Goethe University Frankfurt)

Abstract

We conducted a field experiment in Burkina Faso to investigate the impact of sharing obligations within kin networks on entrepreneurial effort. The overall treatment effect we find is insignificant and goes in the opposite direction than previous literature suggests. Ex-post explorative analysis reveals that entrepreneurs in the two experimental groups reacted differently in their production process, with some entrepreneurs in the treatment group being able to utilize their kin network to their joint advantage.

Suggested Citation

  • Vollan, Björn & Hadnes, Myriam & Nilgen, Marco & Kosfeld, Michael, 2021. "The Fetters of the Sib: An Experimental Study in Burkina Faso," IZA Discussion Papers 14147, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp14147
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    References listed on IDEAS

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    1. Grimm, Michael & Hartwig, Renate & Lay, Jann, 2017. "Does forced solidarity hamper investment in small and micro enterprises?," Journal of Comparative Economics, Elsevier, vol. 45(4), pages 827-846.
    2. Ingela Alger & Laura Juarez & Miriam Juarez-Torres & Josepa Miquel-Florensa, 2020. "Do Informal Transfers Induce Lower Efforts? Evidence from Lab-in-the-Field Experiments in Rural Mexico," Economic Development and Cultural Change, University of Chicago Press, vol. 69(1), pages 107-171.
    3. Nathan Fiala, 2017. "Business is Tough, but Family is Worse: Household Bargaining and Investment in Microenterprises in Uganda," Working papers 2017-05, University of Connecticut, Department of Economics.
    4. Michael Grimm & Flore Gubert & Ousman Koriko & Jann Lay & Christophe Jalil Nordman, 2013. "Kinship ties and entrepreneurship in Western Africa," Post-Print hal-01521952, HAL.
    5. repec:dau:papers:123456789/13755 is not listed on IDEAS
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    More about this item

    Keywords

    field experiment; redristributive pressure; social norms; sharing norms; business development; Burkina Faso;
    All these keywords.

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies
    • H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion and Avoidance
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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