Projects per year
Abstract
We run an experiment in Ethiopia where farmers can use their own money to decrease the money of others (money burning). The data support the prediction from an inequality aversion model based on absolute income differences; but there is no support for an inequality aversion model based on comparison with mean payoff of others. Experimentally measured money burning on the village level is negatively correlated to real-life agricultural innovations. This result is robust even when data from another independent survey than the current research are used. This underscores the importance of social preferences in agricultural innovations in developing countries.
Original language | English |
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Pages (from-to) | 267-280 |
Number of pages | 4 |
Journal | World Development |
Volume | 67 |
Early online date | 20 Nov 2014 |
DOIs | |
Publication status | Published - 1 Mar 2015 |
Keywords
- social preferences
- money burning
- agricultural innovations
- Ethiopia
Profiles
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Bereket Kebede
- School of Global Development - Professor in Behavioural Economics
- Centre for Behavioural and Experimental Social Science - Member
- Behavioural and Experimental Development Economics - Member
- Gender and Development - Member
- Impact Evaluation - Member
Person: Research Group Member, Academic, Teaching & Research
Projects
- 1 Finished
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Money burning, envy and development: An experimental case study in Ethiopia
Zizzo, D. & Kebede, B.
Economic and Social Research Council
1/08/08 → 31/03/10
Project: Research