Abstract
This dissertation addresses three questions in relation to distributive preferences. First, I test, together with Shaun Hargreaves Heap and Konstantinos Matakos, whether distributive choices made in experimental settings, in fact, reveal underlying social preferences. We find that while social preferences explain distributive choices to an extent, following descriptive social norms is a significantly better explanatory factor for these choices, irrespective of the institutional mechanisms used to elicit preferences and perceived social norms. Second, I test with cross-country survey data and a survey experiment whether personal experience with social mobility affects perceptions of procedural fairness in society and, in turn, distributive preferences. Theresults indicate a divide between people who experienced upward mobility as opposed to downward mobility – experiencing downward mobility increases support for redistribution while experiencing upward mobility does not affect redistributive preferences. Third, I test in an interactive online experiment how distributive
choices are affected by potential positive externalities of risky decisions. Many personally risky decisions, such as innovation and entrepreneurship, have the potential to increase overall welfare by creating positive externalities for society. Rewarding such prosocial risk-taking may therefore be an important strategy in
addressing societal challenges, but individuals’ distributive preferences are a fundamental constraint for policymakers who wish to do so. The results of my experimental study indicate that although individuals have a preference for rewarding prosocial risk-taking, they display outcome bias in doing so.
| Date of Award | 1 Jun 2023 |
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| Original language | English |
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| Supervisor | Shaun Hargreaves Heap (Supervisor) & Konstantinos Matakos (Supervisor) |