When Does "Economic Man" Dominate Social Behavior?

@article{Camerer2006WhenD,
  title={When Does "Economic Man" Dominate Social Behavior?},
  author={Colin Camerer and Ernst Fehr},
  journal={Science},
  year={2006},
  volume={311},
  pages={47 - 52}
}
The canonical model in economics considers people to be rational and self-regarding. However, much evidence challenges this view, raising the question of when “Economic Man” dominates the outcome of social interactions, and when bounded rationality or other-regarding preferences dominate. Here we show that strategic incentives are the key to answering this question. A minority of self-regarding individuals can trigger a “noncooperative” aggregate outcome if their behavior generates incentives… 
What can facilitate cooperation: Fairness, ineaulity aversion, punishment, norms or trust?
Almost all economic and public choice models assume that all people are exclusively pursuing their own material self-interests and do not care about "social" goals per se. Several (laboratory)
Strong reciprocity, social structure, and the evolution of cooperative behavior
ion results have broad applicability, ranging from colonies of social amoebae or ants to corporations or nations interacting in markets and policy arenas. In all of these cases, actors in a system
Prosocial preferences do not explain human cooperation in public-goods games
TLDR
It is found that individuals cooperate at similar levels, even when they are not informed that their behavior benefits others, which contradict the suggested role of the prosocial preferences hypothesis and show how the complexity of human behavior can lead to misleading conclusions from controlled laboratory experiments.
Strategic Choice of Preferences: The Persona Model
Recent work in several fields has established that humans can adopt binding “behavioral” preferences and convincingly signal those preferences to other humans, either via their behavior or via their
Explaining Behavior in Public Goods Games: How Preferences and Beliefs Affect Contribution Levels
There is a large body of evidence showing that a substantial proportion of people contribute positive amounts in public goods games, even if the situation is one-shot and completely anonymous.
The appearance of homo rivalis: Social preferences and the nature of rent seeking
While numerous experiments demonstrate how pro-sociality can influence economic decision-making, evidence on explicitly anti-social economic behavior has thus far been limited. In this paper we
Near-Efficient Equilibria in Collaborative Meritocracies
We examine theoretically and experimentally how a society's grouping and stratification rules affect incentives and efficiency, and compare meritocratic and ascriptive grouping. We present a
FAIRNESS AND RECIPROCITY OF CONSUMERS
Behavioral economics have provided insights about consumer behavior in a way that can help us understand consumer preferences and decision making in a better way. Standard economic theory assumes
Not All Prisoner’s Dilemma Games Are Equal: Incentives, Social Preferences, and Cooperation
The Prisoner’s Dilemma (PD) is a classic decision problem where 2 players simultaneously must decide whether to cooperate or to act in their own narrow self-interest. The PD game has been used to
...
...

References

SHOWING 1-10 OF 97 REFERENCES
Behavioral Game Theory: Experiments in Strategic Interaction
Game theory, the formalized study of strategy, began in the 1940s by asking how emotionless geniuses should play games, but ignored until recently how average people with emotions and limited
Modeling Altruism and Spitefulness in Experiments
We examine a simple theory of altruism in which players' payoffs are linear in their own monetary income and their opponents. The weight on the opponent's income is private information and varies in
In Search of Homo Economicus: Behavioral Experiments in 15 Small- Scale Societies
We can summarize our results as follows. First, the canonical model is not supported in any society studied. Second, there is considerably more behavioral variability across groups than had been
Via Freedom to Coercion: The Emergence of Costly Punishment
TLDR
A surprisingly simple model shows that if individuals have the option to stand aside and abstain from the joint endeavor, this paves the way for the emergence and establishment of cooperative behavior based on the punishment of defectors.
Understanding Social Preference with Simple Tests
Departures from self-interest in economic experiments have recently inspired models of “social preferences”. We design a range of simple experimental games that test these theories more directly than
ERC: A Theory of Equity, Reciprocity, and Competition
We demonstrate that a simple model, constructed on the premise that people are motivated by both their pecuniary payoff and their relative payoff standing, organizes a large and seemingly disparate
The Competitive Advantage of Sanctioning Institutions
TLDR
It is shown experimentally that a sanctioning institution is the undisputed winner in a competition with a sanction-free institution, demonstrating the competitive advantage of sanctioning institutions and exemplify the emergence and manifestation of social order driven by institutional selection.
Incorporating Fairness into Game Theory and Economics
People like to help those who are helping them and to hurt those who are hurting them. Outcomes rejecting such motivations are called fairness equilibria. Outcomes are mutual-max when each person
Cognition and Behavior in Normal-Form Games: An Experimental Study
TLDR
Experiments designed to measure strategic sophistication, the extent to which players' behavior reflects attempts to predict others' decisions, taking their incentives into account, are reported.
Inefficient Markets: An Introduction to Behavioral Finance
The efficient markets hypothesis has been the central proposition in finance for nearly thirty years. It states that securities prices in financial markets must equal fundamental values, either
...
...