The generosity spillover effect of pledges in a two-person giving game

B-Tier
Journal: Journal of Behavioral and Experimental Economics
Year: 2021
Volume: 90
Issue: C

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper analyses the equilibrium of a two-person “pledge and give” game and tests its predictions in a lab experiment. Each person’s endowment is private information. In the first stage, each agent informs the other about the amount he/she intends to give. In the second stage, each agent makes a contribution to the joint donation. We show that a linear pledge function can be an equilibrium of the game. Furthermore, if agents have a strong taste for conformity, the equilibrium donation is positively related to one’s own endowment and to the pledge of his partner. In the lab, subjects pledged on average 60% of their income and donated on average 50% of their income. High pledges foster the generosity of the partner: an agent will increase the donation by 20 cents on average if the partner pledges one extra euro.

Technical Details

RePEc Handle
repec:eee:soceco:v:90:y:2021:i:c:s221480432030673x
Journal Field
Experimental
Author Count
2
Added to Database
2026-01-24