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Does redistribution affect cooperation and trust?

Ranehill, Eva LU ; Weber, Roberto A. and Wu, Keyu (2024) In Journal of Economic Behavior and Organization 226.
Abstract
We experimentally investigate the degree to which redistribution, the act of taking money from some individuals and giving it to others, affects social capital in groups. We measure social capital as the degree to which group members exhibit cooperativeness, trust and trustworthiness toward one another. Our experiment involves several rounds of real-effort production, in which we vary the degree to which individual income is redistributed at the end of each round according to either progressive or regressive redistributive policies. We find no statistically significant impacts of such experience with redistribution on any of our primary measures of social capital. Exploratory work considering heterogeneous impacts by relative income... (More)
We experimentally investigate the degree to which redistribution, the act of taking money from some individuals and giving it to others, affects social capital in groups. We measure social capital as the degree to which group members exhibit cooperativeness, trust and trustworthiness toward one another. Our experiment involves several rounds of real-effort production, in which we vary the degree to which individual income is redistributed at the end of each round according to either progressive or regressive redistributive policies. We find no statistically significant impacts of such experience with redistribution on any of our primary measures of social capital. Exploratory work considering heterogeneous impacts by relative income positions and using alternative measures of social capital also yields no reliable impacts. We observe some impacts of redistribution on productivity. (Less)
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author
; and
organization
publishing date
type
Contribution to journal
publication status
published
subject
keywords
Social capital; Redistribution; Trust; Cooperation; Experiment
in
Journal of Economic Behavior and Organization
volume
226
publisher
Elsevier
external identifiers
  • scopus:85202647672
ISSN
0167-2681
DOI
10.1016/j.jebo.2024.106694
language
English
LU publication?
yes
id
5dd12698-eb9e-41f8-8472-7b5cd51351df
date added to LUP
2024-10-08 10:46:07
date last changed
2025-04-04 14:58:47
@article{5dd12698-eb9e-41f8-8472-7b5cd51351df,
  abstract     = {{We experimentally investigate the degree to which redistribution, the act of taking money from some individuals and giving it to others, affects social capital in groups. We measure social capital as the degree to which group members exhibit cooperativeness, trust and trustworthiness toward one another. Our experiment involves several rounds of real-effort production, in which we vary the degree to which individual income is redistributed at the end of each round according to either progressive or regressive redistributive policies. We find no statistically significant impacts of such experience with redistribution on any of our primary measures of social capital. Exploratory work considering heterogeneous impacts by relative income positions and using alternative measures of social capital also yields no reliable impacts. We observe some impacts of redistribution on productivity.}},
  author       = {{Ranehill, Eva and Weber, Roberto A. and Wu, Keyu}},
  issn         = {{0167-2681}},
  keywords     = {{Social capital; Redistribution; Trust; Cooperation; Experiment}},
  language     = {{eng}},
  month        = {{10}},
  publisher    = {{Elsevier}},
  series       = {{Journal of Economic Behavior and Organization}},
  title        = {{Does redistribution affect cooperation and trust?}},
  url          = {{http://dx.doi.org/10.1016/j.jebo.2024.106694}},
  doi          = {{10.1016/j.jebo.2024.106694}},
  volume       = {{226}},
  year         = {{2024}},
}