Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/204334 
Year of Publication: 
2011
Series/Report no.: 
FOI Working Paper No. 2012/1
Publisher: 
University of Copenhagen, Department of Food and Resource Economics (IFRO), Copenhagen
Abstract: 
Pro-social behavior made when buying private goods is becoming increasingly popular. Several findings from behavioral and experimental economics however emphasizes that people are less pro-social in such situations, compared to pro-social decisions in non-market contexts. This paper suggests that emotional responses are important explanations of this finding. It is first argued that the emotional response to a pro-social decision combined with private good purchase is different from the response to a similar decision in a non-market situation. Through evidence from a laboratory experiment, it is then found, that deciding on a social choice in a market exchange involves a less positive emotional reaction to others, compared to non-market situations. Moreover, subjects in market contexts are found to be less responsive to other subjects' contribution behavior, relative to the non-market contexts.
Subjects: 
Emotions
market exchange
pro-social behavior
JEL: 
C92
H41
M14
Document Type: 
Working Paper

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