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Do what (you think) the rich will do: inequality, belief formation and group identity in public good games

MPG-Autoren
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Martinangeli,  Andrea F. M.
Public Economics, MPI for Tax Law and Public Finance, Max Planck Society;

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Zitation

Martinangeli, A. F. M. (2017). Do what (you think) the rich will do: inequality, belief formation and group identity in public good games. Working Paper of the Max Planck Institute for Tax Law and Public Finance, No. 2017-6. doi:10.2139/ssrn.3070528.


Zitierlink: https://hdl.handle.net/21.11116/0000-0001-437E-7
Zusammenfassung
Salient heterogeneity is suspected to adversely affect cooperation. Within a public good game, I experimentally study i) the impact of inequality on the formation of beliefs about others’ cooperativeness, ii) the relationship of such beliefs with behaviour and iii) what impact emphasis on group membership has on the salience of inequality for belief formation, and on cooperation. Inequality drives belief formation: the rich are expected to cooperate more by both rich and poor subjects, and cooperative behaviour correlates positively with beliefs about the rich only. Finally, group membership salience affects neither the salience of inequality for belief formation nor aggregate cooperation, but it exerts a positive effect on poor subjects.