Redistribution and Group Participation: Experimental Evidence from Africa and the UK

@article{Fafchamps2018RedistributionAG,
  title={Redistribution and Group Participation: Experimental Evidence from Africa and the UK},
  author={Marcel Fafchamps and Ruth Vargas Hill},
  journal={World Bank Policy Research Working Paper Series},
  year={2018}
}
  • M. Fafchamps, R. Hill
  • Published 1 February 2018
  • Economics
  • World Bank Policy Research Working Paper Series
This paper investigates whether the prospect of redistribution hinders the formation of efficiency-enhancing groups. An experiment is conducted in a Kenyan slum, Ugandan villages, and a UK university town and used to test, in an anonymous setting with no feedback, whether subjects join a group that increases their endowment but exposes them to one of three redistributive actions: stealing, giving, or burning. Exposure to redistributive options among group members operates as a disincentive to… 
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