Escaping Paternalism ’s critique of the rationality assumption vin-dicates von Mises’ distinction between egalitarian contracts and hierarchical commands, revealing “libertarian paternalism” as an oxymoron. Putting Escaping Paternalism in a zoological context lets us see in “contract and coordination” status acquired by freely given prestige and in “command and subordination” status acquired by forcefully extracted dominance. Libertarian paternalism is a form of dominance. Thus, the “zoological perspective in the social sciences” extends Rizzo and Whitman’s critique of rationality and helps clarify “expertism,” that is, the attempt to acquire “dominance” by leveraging “prestige.” Humans have both an apish disposition to create linear dominance hierarchies and a disposition to form reverse dominance hierarchies. It is undecided whether we can strengthen reverse dominance hierarchies enough to prevent the boots of the few forever stamping on the faces of the many. It is undecided whether the liberal vision of egalitarian cooperation can prevail. But it’s worth fighting for.
{"title":"Against Expertism","authors":"R. Koppl","doi":"10.1561/105.00000147","DOIUrl":"https://doi.org/10.1561/105.00000147","url":null,"abstract":"Escaping Paternalism ’s critique of the rationality assumption vin-dicates von Mises’ distinction between egalitarian contracts and hierarchical commands, revealing “libertarian paternalism” as an oxymoron. Putting Escaping Paternalism in a zoological context lets us see in “contract and coordination” status acquired by freely given prestige and in “command and subordination” status acquired by forcefully extracted dominance. Libertarian paternalism is a form of dominance. Thus, the “zoological perspective in the social sciences” extends Rizzo and Whitman’s critique of rationality and helps clarify “expertism,” that is, the attempt to acquire “dominance” by leveraging “prestige.” Humans have both an apish disposition to create linear dominance hierarchies and a disposition to form reverse dominance hierarchies. It is undecided whether we can strengthen reverse dominance hierarchies enough to prevent the boots of the few forever stamping on the faces of the many. It is undecided whether the liberal vision of egalitarian cooperation can prevail. But it’s worth fighting for.","PeriodicalId":43339,"journal":{"name":"Review of Behavioral Economics","volume":null,"pages":null},"PeriodicalIF":0.6,"publicationDate":"2021-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"67075896","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This paper discusses how counterfactual thinking can be incorporated into behavioral economics by relating it to a type of attribution substitution involved in choices people make in conditions of Knightian uncertainty. It draws on Byrne’s ‘rational imagination’ account of counterfactual thinking, evidence from cognitive science regarding the forms it takes, and identifies types of attribution substitution specific to economic behavior. This approach, which elucidates the reflective stage of causal reasoning, is relevant for the explanation of hypothetical causal rules suitable for diverse tasks such as planning, expectations and mental simulations and for behavioural change interventions, which take into account people’s social and institutional embeddedness. The paper closes with a discussion of how this implies a specifically social Homo sapiens individual conception.
{"title":"Counterfactual Thinking and Attribute Substitution in Economic Behavior","authors":"John B. Davis, Theodore Koutsobinas","doi":"10.2139/SSRN.3757142","DOIUrl":"https://doi.org/10.2139/SSRN.3757142","url":null,"abstract":"This paper discusses how counterfactual thinking can be incorporated into behavioral economics by relating it to a type of attribution substitution involved in choices people make in conditions of Knightian uncertainty. It draws on Byrne’s ‘rational imagination’ account of counterfactual thinking, evidence from cognitive science regarding the forms it takes, and identifies types of attribution substitution specific to economic behavior. This approach, which elucidates the reflective stage of causal reasoning, is relevant for the explanation of hypothetical causal rules suitable for diverse tasks such as planning, expectations and mental simulations and for behavioural change interventions, which take into account people’s social and institutional embeddedness. The paper closes with a discussion of how this implies a specifically social Homo sapiens individual conception.","PeriodicalId":43339,"journal":{"name":"Review of Behavioral Economics","volume":null,"pages":null},"PeriodicalIF":0.6,"publicationDate":"2020-12-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"68637276","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Flow Theory posits that motivation is highest when individuals experience above average challenges and perform at above average skill. I use data from a short, repetitive online game to test this hypothesis and to explore the role of Flow Theory in motivation and game play. I also explore the relationship between Flow Theory and demand for commitment. For each player, the Flow-Theory channel in which they are most likely to continue playing the game is identified, and players are categorized into types accordingly. Control, Boredom and Relaxation types are most common. Flow types are among the least common, making up 12.6% of players. Flow types have the lowest skill level, but challenge themselves the most, and are most likely to make use of self-control devices available within the game. Control types play most frequently and over a longer period of weeks. Apathy types are high skill but seek out low challenges and are least likely to make use of self-control devices. Flow and control types are more likely to play during the workday. Relaxation, boredom and apathy types are more likely to play during workday evenings. I conclude that the principle hypothesis of Flow Theory does not explain my findings, but other aspects of Flow Theory are relevant to an understanding of motivation and self-control.
{"title":"An Investigation of Flow Theory in an Online Game","authors":"Dan Acland","doi":"10.1561/105.00000127","DOIUrl":"https://doi.org/10.1561/105.00000127","url":null,"abstract":"Flow Theory posits that motivation is highest when individuals experience above average challenges and perform at above average skill. I use data from a short, repetitive online game to test this hypothesis and to explore the role of Flow Theory in motivation and game play. I also explore the relationship between Flow Theory and demand for commitment. For each player, the Flow-Theory channel in which they are most likely to continue playing the game is identified, and players are categorized into types accordingly. Control, Boredom and Relaxation types are most common. Flow types are among the least common, making up 12.6% of players. Flow types have the lowest skill level, but challenge themselves the most, and are most likely to make use of self-control devices available within the game. Control types play most frequently and over a longer period of weeks. Apathy types are high skill but seek out low challenges and are least likely to make use of self-control devices. Flow and control types are more likely to play during the workday. Relaxation, boredom and apathy types are more likely to play during workday evenings. I conclude that the principle hypothesis of Flow Theory does not explain my findings, but other aspects of Flow Theory are relevant to an understanding of motivation and self-control.","PeriodicalId":43339,"journal":{"name":"Review of Behavioral Economics","volume":null,"pages":null},"PeriodicalIF":0.6,"publicationDate":"2020-12-09","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"47960735","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
S. Falco, B. Magdalou, David Masclet, M. Villeval, M. Willinger
We study embezzlement when donations have to pass through intermediaries to reach recipients, by means of a sequential game tested in a laboratory experiment conducted in Tanzania. We investigate the impact on the amount embezzled of both the number of intermediaries in transfer chains and transparency about the donation. We show that donors are less generous in the presence of intermediaries. When transfer chains are shorter, aggregate embezzlement decreases when donations are transparent. At the individual level, intermediaries embezzle less, the longer the transfer chain; this is due to less embezzlement at the beginning of the chain. We fail finding significant positive effects of transparency on the honesty of individual transfers through social judgment.
{"title":"Can Shorter Transfer Chains and\u0000Transparency Reduce Embezzlement?","authors":"S. Falco, B. Magdalou, David Masclet, M. Villeval, M. Willinger","doi":"10.1561/105.00000119","DOIUrl":"https://doi.org/10.1561/105.00000119","url":null,"abstract":"We study embezzlement when donations have to pass through intermediaries to reach recipients, by means of a sequential game tested in a laboratory experiment conducted in Tanzania. We investigate the impact on the amount embezzled of both the number of intermediaries in transfer chains and transparency about the donation. We show that donors are less generous in the presence of intermediaries. When transfer chains are shorter, aggregate embezzlement decreases when donations are transparent. At the individual level, intermediaries embezzle less, the longer the transfer chain; this is due to less embezzlement at the beginning of the chain. We fail finding significant positive effects of transparency on the honesty of individual transfers through social judgment.","PeriodicalId":43339,"journal":{"name":"Review of Behavioral Economics","volume":null,"pages":null},"PeriodicalIF":0.6,"publicationDate":"2020-05-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1561/105.00000119","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"47851017","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This article examines how Derek Parfit's moral philosophy can help to develop new insights to account for the justification of paternalistic policies in the context of normative behavioral economics. I discuss two themes that appear in Parfit's work which I argue could provide insights to the debate over soft forms of paternalism: the reductionist account of personal identity and the notion of rational consent. I argue that these two theses are directly relevant to tackle several issues that are central in the NBE defense of paternalistic policies. In particular, they help to reflect over the significance of distinctions between ends paternalism and means paternalism and indicate that the tacitly assumed existence of a trade-off between well-being and autonomy is either meaningless or illusory.
{"title":"Rethinking Paternalism: Derek Parfit’s\u0000Moral Philosophy and Normative\u0000Behavioral Economics","authors":"Cyril Hédoin","doi":"10.1561/105.00000116","DOIUrl":"https://doi.org/10.1561/105.00000116","url":null,"abstract":"This article examines how Derek Parfit's moral philosophy can help to develop new insights to account for the justification of paternalistic policies in the context of normative behavioral economics. I discuss two themes that appear in Parfit's work which I argue could provide insights to the debate over soft forms of paternalism: the reductionist account of personal identity and the notion of rational consent. I argue that these two theses are directly relevant to tackle several issues that are central in the NBE defense of paternalistic policies. In particular, they help to reflect over the significance of distinctions between ends paternalism and means paternalism and indicate that the tacitly assumed existence of a trade-off between well-being and autonomy is either meaningless or illusory.","PeriodicalId":43339,"journal":{"name":"Review of Behavioral Economics","volume":null,"pages":null},"PeriodicalIF":0.6,"publicationDate":"2020-03-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42986244","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
According to the United Nationsâ World Happiness Report, Japanâs happiness level is not very high, and the freedom to make life choices tends to be limited. Since the 1970s, âwhy happiness does not necessarily correlate with income levelsâ has been an important topic in the study of happiness. In this study, we conducted a survey of 20,000 Japanese nationals and analyzed the respondentsâ data by using income, education, health, human relations, and self-determination as explanatory variables. The results show that the sense of wellbeing in relation to age drops at around midlife, generating a U-shaped curve, while the sense of wellbeing does not increase in proportion to an increase in income. The findings also indicate that, following health and human relations, self-determination is a stronger determinant of a sense of wellbeing than either income or educational background. It is believed that self-determination in life enhances motivation for and satisfaction with the action chosen and ultimately leads to an increased sense of wellbeing. It is noteworthy that those high in self-determination have a high degree of happiness in Japanese society where the freedom to make life choices is deemed to be narrow.
{"title":"Happiness and Self-Determination –\u0000An Empirical Study in Japan","authors":"K. Nishimura, T. Yagi","doi":"10.1561/105.00000113","DOIUrl":"https://doi.org/10.1561/105.00000113","url":null,"abstract":"According to the United Nationsâ World Happiness Report, Japanâs happiness level is not very high, and the freedom to make life choices tends to be limited. Since the 1970s, âwhy happiness does not necessarily correlate with income levelsâ has been an important topic in the study of happiness. In this study, we conducted a survey of 20,000 Japanese nationals and analyzed the respondentsâ data by using income, education, health, human relations, and self-determination as explanatory variables. The results show that the sense of wellbeing in relation to age drops at around midlife, generating a U-shaped curve, while the sense of wellbeing does not increase in proportion to an increase in income. The findings also indicate that, following health and human relations, self-determination is a stronger determinant of a sense of wellbeing than either income or educational background. It is believed that self-determination in life enhances motivation for and satisfaction with the action chosen and ultimately leads to an increased sense of wellbeing. It is noteworthy that those high in self-determination have a high degree of happiness in Japanese society where the freedom to make life choices is deemed to be narrow.","PeriodicalId":43339,"journal":{"name":"Review of Behavioral Economics","volume":null,"pages":null},"PeriodicalIF":0.6,"publicationDate":"2019-11-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1561/105.00000113","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41512597","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Altruism, Time Preferences, and Common Resource Conservation: A Field Study on Preferences and Antibiotics Use
利他主义、时间偏好与共同资源保护:偏好与抗生素使用的实地研究
{"title":"Altruism, Time Preferences, and\u0000Common Resource Conservation: A\u0000Field Study on Preferences and\u0000Antibiotics Use","authors":"Linnea Wickström Österval","doi":"10.1561/105.00000108","DOIUrl":"https://doi.org/10.1561/105.00000108","url":null,"abstract":"Altruism, Time Preferences, and Common Resource Conservation: A Field Study on Preferences and Antibiotics Use","PeriodicalId":43339,"journal":{"name":"Review of Behavioral Economics","volume":null,"pages":null},"PeriodicalIF":0.6,"publicationDate":"2019-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1561/105.00000108","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"47987634","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
The study analyzes the correlation between abnormal trading volumes accompanying large stock price changes and subsequent stock price dynamics. Assuming that abnormal trading volume associated with a large price move may serve as an indication for the extent of the immediate stock price reaction to the underlying company-specific shock, I suggest that large price moves accompanied by relatively high (low) abnormal trading volumes may be followed by price reversals (drifts). Analyzing a large sample of major daily stock price moves and defining the latter according to a number of alternative proxies, I document that both large price increases and decreases accompanied by high (low) abnormal trading volumes are followed by significant price reversals (drifts) on each of the next two trading days and over five- and twenty-day intervals following the initial price move, the magnitude of the reversals (drifts) increasing over longer post-event windows. The effect remains significant after accounting for additional companyspecific (size, CAPM beta, historical volatility) and event-specific (stockâs absolute return on the event day) factors, and is robust to different methods of calculating abnormal returns and to different sample filtering criteria.
{"title":"Abnormal Trading Volumes around\u0000Large Stock Price Moves and\u0000Subsequent Price Dynamics","authors":"A. Kudryavtsev","doi":"10.1561/105.00000109","DOIUrl":"https://doi.org/10.1561/105.00000109","url":null,"abstract":"The study analyzes the correlation between abnormal trading volumes accompanying large stock price changes and subsequent stock price dynamics. Assuming that abnormal trading volume associated with a large price move may serve as an indication for the extent of the immediate stock price reaction to the underlying company-specific shock, I suggest that large price moves accompanied by relatively high (low) abnormal trading volumes may be followed by price reversals (drifts). Analyzing a large sample of major daily stock price moves and defining the latter according to a number of alternative proxies, I document that both large price increases and decreases accompanied by high (low) abnormal trading volumes are followed by significant price reversals (drifts) on each of the next two trading days and over five- and twenty-day intervals following the initial price move, the magnitude of the reversals (drifts) increasing over longer post-event windows. The effect remains significant after accounting for additional companyspecific (size, CAPM beta, historical volatility) and event-specific (stockâs absolute return on the event day) factors, and is robust to different methods of calculating abnormal returns and to different sample filtering criteria.","PeriodicalId":43339,"journal":{"name":"Review of Behavioral Economics","volume":null,"pages":null},"PeriodicalIF":0.6,"publicationDate":"2019-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1561/105.00000109","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48998328","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
We present results from three-player experiments aimed at studying distributional concerns in how ownermanagers compensate themselves and workers of different productivities and effort costs, as well as their relations to various equity principles. We are also interested in how owner-managers decisions’ are affected by pay secrecy. We use a game in which workers first exert effort and owner-managers then decide on bonuses for themselves and workers. Our design includes four treatments: 1) different productivities of workers with complete information; 2) different productivities of workers with pay secrecy among workers; 3) different effort cost of workers with complete information; and 4) different effort cost of workers with pay secrecy among workers. The equity principles we focus on are ‘production-equity’, higher production leads to higher wage, and ‘effort-cost equity’, higher effort-cost leads to higher wage. Our results show that, on average, managers do not pay relative wages in accordance to relative production levels, but also take effort-cost into account. Pay secrecy affects compensation differences among workers in a limited way. Across all treatments about 50% of all manager choices are compatible both with ‘production equity’ and with ‘effort- cost equity’, about 20% only with production equity and about 15% only with effort-cost equity.
{"title":"Distributional Concerns in Managers’\u0000Compensation Schemes for\u0000Heterogeneous Workers: Experimental\u0000Evidence","authors":"J. Brandts, J. M. Ortiz, Carles Solà Belda","doi":"10.1561/105.00000107","DOIUrl":"https://doi.org/10.1561/105.00000107","url":null,"abstract":"We present results from three-player experiments aimed at studying distributional concerns in how ownermanagers compensate themselves and workers of different productivities and effort costs, as well as their relations to various equity principles. We are also interested in how owner-managers decisions’ are affected by pay secrecy. We use a game in which workers first exert effort and owner-managers then decide on bonuses for themselves and workers. Our design includes four treatments: 1) different productivities of workers with complete information; 2) different productivities of workers with pay secrecy among workers; 3) different effort cost of workers with complete information; and 4) different effort cost of workers with pay secrecy among workers. The equity principles we focus on are ‘production-equity’, higher production leads to higher wage, and ‘effort-cost equity’, higher effort-cost leads to higher wage. Our results show that, on average, managers do not pay relative wages in accordance to relative production levels, but also take effort-cost into account. Pay secrecy affects compensation differences among workers in a limited way. Across all treatments about 50% of all manager choices are compatible both with ‘production equity’ and with ‘effort- cost equity’, about 20% only with production equity and about 15% only with effort-cost equity.","PeriodicalId":43339,"journal":{"name":"Review of Behavioral Economics","volume":null,"pages":null},"PeriodicalIF":0.6,"publicationDate":"2019-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1561/105.00000107","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44619251","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
We analyze whether the efficiency of households’ asset mixes is driven by households’ wealth as suggested by previous studies. This question is of particular importance when assessing if employing a buy-and-hold strategy with their current asset mix is an appropriate advice for all households. Using the dataset of the Panel on Household Finances by the German central bank and a new approach that extracts household-specific portfolios to measure households’ wealth available for investments, we find that more wealthy households do not have a more efficient asset mix. Instead, the gender of the financial knowledgeable person (FKP) and the household’s risk attitude significantly influence the efficiency of the household’s asset mix. Our results are robust to household members’ estimation regarding future savings and the FKP’s formal level of education and financial literacy. A buy-and-hold strategy in low-fee index products could, therefore, considerably enhance both more and less wealthy households’ investment success.
{"title":"Does Households’ Wealth Predict the\u0000Efficiency of their Asset Mix?\u0000Empirical Evidence","authors":"A. Oehler, M. Horn","doi":"10.1561/105.00000106","DOIUrl":"https://doi.org/10.1561/105.00000106","url":null,"abstract":"We analyze whether the efficiency of households’ asset mixes is driven by households’ wealth as suggested by previous studies. This question is of particular importance when assessing if employing a buy-and-hold strategy with their current asset mix is an appropriate advice for all households. Using the dataset of the Panel on Household Finances by the German central bank and a new approach that extracts household-specific portfolios to measure households’ wealth available for investments, we find that more wealthy households do not have a more efficient asset mix. Instead, the gender of the financial knowledgeable person (FKP) and the household’s risk attitude significantly influence the efficiency of the household’s asset mix. Our results are robust to household members’ estimation regarding future savings and the FKP’s formal level of education and financial literacy. A buy-and-hold strategy in low-fee index products could, therefore, considerably enhance both more and less wealthy households’ investment success.","PeriodicalId":43339,"journal":{"name":"Review of Behavioral Economics","volume":null,"pages":null},"PeriodicalIF":0.6,"publicationDate":"2019-07-31","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1561/105.00000106","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43310629","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
京公网安备 11010802042870号
京ICP备2023020795号-1
扫码关注我们
求助内容：
应助结果提醒方式：