Equity or intention: it is the thought that counts |
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| Institution: | 1. Faculty of Psychology, University of Warsaw, Stawki 5/7, 00-183 Warszawa, Poland;2. Institute of Psychology, University of Gdańsk, Bażyńskiego 4, 80-952 Gdańsk, Poland;3. Department of Nephrology, Transplantology and Internal Medicine, Medical University of Gdańsk, Dębinki 7, 80-211 Gdańsk, Poland;4. Department of Neurology, University of Florida, College of Medicine, Gainesville, FL 32610, USA;1. Department of Psychology, University of California San Diego, 9500 Gilman Drive, La Jolla, CA 92093, USA;2. Department of Psychology, Harvard University, 33 Kirkland Street, Cambridge, MA 02138, USA;1. University of Maryland, Department of Psychology, College Park, MD, USA;2. Jagiellonian University, Institute of Psychology, Krakow, Poland;3. Wellcome Centre for Human Neuroimaging, Institute of Neurology, University College London, London, UK;1. University of Nottingham;2. CESifo;3. IZA;4. School of Economics, Sir Clive Granger Building, University Park, Nottingham NG7 2RD, United Kingdom |
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| Abstract: | Economists theorize how and when other-regarding behavior determines experimental outcomes. Two approaches are: (1) explicitly model fairness—intentions matter and (2) use inequity aversion as a proxy for fairness—only the outcome matters. The first approach is consistent with people behaving as though they think, “He was as fair as he could be; do not punish him”. The second approach is consistent with people behaving as though they think, “Despite his best efforts, the outcome was inequitable; punish him”. The results of this experiment are consistent with the fairness-based model, that is, “It is the thought that counts”. |
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