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«IZA DP No. 6388 PAPER Experimental Evidence of Self-Image Concerns as Motivation for Giving Mirco Tonin DISCUSSION Michael Vlassopoulos February 2012 ...»

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Moreover, satiation of utility benefits deriving from self-signaling may also account for the opting out we observe. To see the logic behind the argument more clearly note that the decision to opt-out may not fully erase the benefits to a person’s self-esteem deriving from the previous decisions that were not implemented, perhaps, not even from the one that was actually implemented and from which the subject walked away. If that is true, then the decision maker can leverage the benefits to self-esteem deriving from decisions that were not implemented and this may lead her to withdraw an amount that was initially chosen to be shared.

The experiments reported in Bodner (1995) provide evidence of charitable giving driven by the diagnostic value it furnishes regarding the individual’s altruistic disposition.

References [1] Andreoni, J. (1989): “Giving with Impure Altruism: Applications to Charity and Ricardian Equivalence,” Journal of Political Economy, 97(6), 1447-58.

[2] Andreoni, J. (1990): “Impure Altruism and Donations to Public Goods: A Theory of WarmGlow Giving,” Economic Journal, 100(401), 464-477.

[3] Andreoni, J., and Bernheim, B.D. (2009): “Social Image and the 50-50 Norm: A Theoretical and Experimental Analysis of Audience Effects,” Econometrica, 77(5), 1607-1636.

[4] Ariely, D., Bracha, A., and Meier, S. (2009): “Doing Good or Doing Well? Image Motivation and Monetary Incentives in Behaving Prosocially,” American Economic Review, 99(1), 544-55.

[5] Baumeister, R. F. (1998): “The Self,” in The Handbook of Social Psychology, ed. by D. T.

Gilbert, S. T. Fiske, and G. Lindzey, pp. 680-740. New York: McGraw-Hill.

[6] Bem, D. J. (1972): “Self-perception Theory,” in Advances in Experimental Social Psychology, ed. by L. Berkowitz, vol. 6, pp. 1-62, New York: Academic Press.

[7] Benabou, R., and Tirole, J. (2006): “Incentives and Prosocial Behaviour,” American Economic Review, 96(5), 1652-1678.

[8] Bodner, R., (1995): Self Knowledge and the Diagnostic Value of Actions: The Case of Donating to a Charitable Cause, Unpublished Doctoral Dissertation, MIT, Sloan School of Management.

[9] Bodner, R., and Prelec, D. (2003): “Self-signaling and Diagnostic Utility in Everyday Decision Making,” in The Psychology of Economic Decisions, vol. Rationality and Well- being, ed. by I.

Brocas, and J. Carillo, chap. 6, Oxford University Press.

[10] Broberg, T., Ellingsen, T., and Johannesson, M. (2007): “Is Generosity Involuntary,” Economics Letters, 94(1), 32-37.

[11] Dana, J., Cain, D.M., and Dawes, R. (2006): “What you don’t know won’t hurt me: Costly (but quiet) exit in a dictator game,” Organizational Behavior and Human Decision Processes, 100(2), 193-201.

[12] DellaVigna, S., List, J., and Malmendier, U. (2011): “Testing for Altruism and Social Pressure in Charitable Giving,” Quarterly Journal of Economics, forthcoming.

[13] Ellingsen, T., and Johannesson, M. (2008): “Pride and Prejudice: The Human Side of Incentive Theory,” American Economic Review, 98(3), 990-1008.

[14] Ellingsen, T., and Johannesson, M. (2011): “Conspicuous Generosity,” Journal of Public Economics, 95(9-10), 1131-1143.

[15] Ellingsen, T., Johannesson, M., Tjotta, S., and Torsvik, G., (2010): “Testing Guilt Aversion,” Games and Economic Behavior, 68(1), 95-107.

[16] Fehr, E., and Schmidt, K.M. (1999): “A Theory of Fairness, Competition and Cooperation,” Quarterly Journal of Economics, 114, 817-868.

[17] Grossman, Z. (2010): “Self-Signaling versus Social Signaling in Giving,” UCSB Working paper.

[18] Jacobsen, K.J., Eika, K.H., Helland, L., Lind, J.T., Nyborg, K. (2011): “Are Nurses More Altruistic than Real Estate Brokers?” Journal of Economic Psychology, 32(5), 818-31.

[19] Lacetera, N., and Macis, M., (2010): “Social Image Concerns and Prosocial Behavior: Field Evidence from a Nonlinear Incentive Scheme,” Journal of Economic Behavior and Organization, 76(2), 225-237.

[20] Lazear, E.P., Malmendier, U., and Weber, R.A. (2012): “Sorting in Experiments with Application to Social Preferences,” American Economic Journal: Applied Economics, 4(1), 136-63.

[21] Murnighan, J.K., Oesch, J.M., and Pillutla, M. (2001): “Player Types and Self-Impression Management in Dictator Games: Two Experiments,” Games and Economic Behavior, 37, 388Tonin, M. and Vlassopoulos, M. (2011): “An Experimental Investigation of Intrinsic Motivations for Giving,” IZA Discussion Paper No. 5461.

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