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The Behavioral Economics of Altruism, Reciprocity, and Transfers within Families and Rural Communities: Evidence from Sub-Saharan Africa

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The Behavioral Economics of Altruism, Reciprocity, and Transfers within Families and Rural Communities: Evidence from Sub-Saharan Africa

Working Paper Number
07-01
Publication Year
2007
Authors
Li-Wei Chao
Hans-Peter Kohler
Paper Abstract
Transfers between strangers, neighbors, families, and spouses were examined using Triple Dictator Games (TDG, involving only givings) and Trust Games (TG, involving both givings and reciprocations) among 240 participants from 60 families in 20 villages in rural Malawi. In TDG, more was sent by those who were older, male, in better physical health, financially poorer, or frequent lenders of personal items, but less was sent to neighbors by participants with higher HIV felt stigma. In TG, higher transfers were associated with the expected amount of reciprocation, amount sent in TDG, and prior lending behavior; participants with high HIV stigmatization attitudes gave less, especially to their own families and spouses. Higher reciprocation in TG was associated with better mental health. Those with HIV stigmatization attitudes reciprocated differently, depending on whether their game-partner was the neighbor, family, or spouse. Social distance, physical and mental health, and HIV-stigma were predictors of transfers behavior.
Acknowledgements

Chao, Li-Wei and Hans-Peter Kohler. 2007. "The Behavioral Economics of Altruism, Reciprocity, and Transfers within Families and Rural Communities: Evidence from Sub-Saharan Africa." PARC Working Paper Series, WPS 07-01.

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The Population Studies Center (PSC) at the University of Pennsylvania (Penn) was founded in 1962 and stands as an international leader in research and training on the dynamic structure, organization, and health and well-being of human populations. The services that PSC provides have been funded by infrastructure grants awarded by the Population Dynamics Branch at Eunice Kennedy Shriver National Institute of Child Health and Human Development (NICHD) since 1978. The center and its associates are also supported by research grants and contracts awarded by federal agencies including the National Institutes of Health and the National Science Foundation and by private foundations. Penn’s School of Arts and Sciences is the administrative home of the PSC and provides generous dedicated support to the center.

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