Social Comparisons in Ultimatum Bargaining

B-Tier
Journal: Scandanavian Journal of Economics
Year: 2004
Volume: 106
Issue: 3
Pages: 495-510

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

Experiments are used to examine the effects of social comparisons in ultimatum bargaining. We inform responders about the average offer before they decide whether to accept or reject their specific offer. This significantly increases offers and offer‐specific rejection probabilities. For comparison, we consider another change in informational conditions: telling responders the total pie is $30—ex ante it was either $15 or $30—affects offers and rejection probabilities roughly as much. Our results are consistent with people’s dislike for deviations from the norm of equity but inconsistent with fairness theories, where people dislike income disparity between themselves and their referents.

Technical Details

RePEc Handle
repec:bla:scandj:v:106:y:2004:i:3:p:495-510
Journal Field
General
Author Count
2
Added to Database
2026-01-24