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Reciprocity or equity?analyzing the drivers of punishment and reward in a public good game. Evidence from rural Rwanda.

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This paper uses Public Good Games conducted in rural Rwanda to analyze the impact of rewards and penalties on the level of cooperation. Furthermore, this work elaborates whether the decisions to punish and reward are triggered equally. The results provide evidence, that the possibilities of rewarding and punishing a partner successfully increase cooperation levels. Moreover, evidence suggests, that reward and punishment decisions are based on di↵erent motivations. Sanctioning shows signs of being motivated by outcome preferences and perceived intentionality of a participant’s action. Results for reward suggest, that reciprocity based on intentionality and kindness of an action is the significant driver.

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Public good games Rwanda Field experiment Inequity aversion Reciprocity Punishment Reward

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Licença CC