Why should i care - Its others money

Abstract

We examine the behavior of players when they play with their own vs. other people’s money; we investigate this for both dictator and ultimatum games. The results suggest that the behavior of the players differs when they play with their own money as compared to other people’s money. In a dictator game, the offer sizes are larger when playing for others, as people seem to offer more when they do not bear the cost. However, in ultimatum games, proposers tend to be more strategic, less risk averse and make lower offers, when they play with other people’s money than with their own money.