Walking the talk in multiparty bargaining: An experimental investigation

We study the framing effects of communication on payoffs in multiparty bargaining. Communication has been shown to be more truthful and revealing than predicted in equilibrium. Because talk is preference-revealing, it may effectively frame bargaining around a logic of fairness or competition, moving parties on a path toward or away from equal-division agreements. These endogenous framing effects may outweigh any overall social utility effects due to the mere presence of communication. In two studies, we find that non-binding talk about fairness within a three-party, complete-information game leads toward off-equilibrium, equal division payoffs, while non-binding talk focusing on Competitive Reasoning moves parties away from equal divisions. Our two studies allow us to demonstrate that manipulated pre-game talk and spontaneous within-game dialogue lead to the same results.     

Evaluating economic theories of NPOs: A survey, a case study and some new directions for socio-economics

The contribution economists have made to the multidisciplinary field of non-profit studies is remarkable when one considers that non-profit organizations (NPOs) have traditionally been regarded as “non-economic” institutions that lie outside the scope of economic analysis. However, despite its achievements there has been concern about the emergence of “theoretical inertia” in the economics of NPOs. This paper suggests some ways in which the revisionist approach reflected in economic theories of the supply-side of the voluntary sector could be augmented. In particular it focuses on the emotional basis for stakeholder commitments and the consequent dependence NPOs have on their organizational leadership to foster the development of shared hopes that can sustain these commitments in the face of disappointments. These ideas are discussed in relation to the provision by NPOs of supported employment services to the disabled.     

Latvian Bilingual Education: Towards a new approach

During the transitional period from being part of the Soviet Union, with Russian as the official state language, to an independent state within the European Union, with special language policies supporting minority languages, Latvia has developed reasonable principles of bilingual education. Nevertheless, a lot of work still needs to be done to improve teaching methods, to develop effective programmes, and to assess the multifaceted process of language use at school, including sociolinguistic and psycholinguistic analysis of educational discourse and spontaneous bilingual communication. The quality of bilingual education depends upon different factors, which are subject to various influences. Some of these are not mentioned in the models being proposed by the government, such as the pedagogical relevance of a child-centered approach, the progression in language and cultural competence of participants, mixing/overlapping/avoidance strategies of language use, attitudes of families, children and teachers, etc. The challenge for teachers of both Latvian as a second and Russian as a first language is enormous. In the future, other bilingual situations will present themselves in Latvia as well. Because of this, Latvian society must consider their entire policy towards bilingualism in the educational system.     

Reference dependent prices in bargaining: An experimental examination of precise first offers

Evidence from psychology and marketing suggests that those who make a “precise” first offer in bargaining get a better deal than those who make a “round” first offer. We report on a series of experiments designed to test for and improve our understanding of the “precise first offer” (PFO) effect in bargaining and whether it likely reflects rational optimizing or equilibrium behavior. Our experiment varies whether decisions are incentivized and whether the PFO effect can emerge as an equilibrium of a cheap-talk signaling game. We find evidence of a PFO effect when subjects read a vignette and make unincentivized individual decisions. When monetary incentives are added to the vignette, we still find the PFO effect, but it is not robust. In a bilateral bargaining situation with a cheap-talk equilibrium, we can not find the PFO effect, which is inconsistent with the equilibrium predictions. Moreover, the PFO effect reemerges in a setting in which initial offers are generated by a random device and thus provides a strong refutation of the signaling model. Our evidence suggests that optimizing and equilibrium accounts of the PFO effect are inadequate. Understanding initial offers as reference points, which subtly change perceptions about the kinds of acceptable counteroffers, provides a plausible account of a new finding on which prior explanations are silent: precise offers induce more precise counteroffers.     

Dynamic behaviour in tax evasion: An experimental approach

This paper investigates, from an experimental perspective, tax payer behaviour, specifically focusing on three main topics related to tax evasion. First analysed are the effects of a repetitive dynamic choice process on subjects’ attitude towards risk. Second, the effects of psychological moral constraints on taxpayer behaviour are examined. Finally the effect of context upon behaviour is analysed. The results from eight experiments confirm the importance of the psychological factors in determining taxpayer behaviour and show the complex dynamics that agents activate in order to cope with risk.     

Collective consumption models with restricted bargaining weights: an empirical assessment based on experimental data

We use experimental data to analyze consumption decisions by groups of individuals who have to reach a consensus on spending a joint budget. Our experiment involves dyads (i.e. two-member groups) who have to compose consumption bundles consisting of three commodities (wine, orange juice and M&Ms). We focus on the collective consumption model to describe group behavior. This model represents group decisions as Pareto optimal outcomes of a within-group bargaining process, with rational group members who are each characterized by individual bargaining weights. We also consider specifications of the collective model that restrict the variation of these bargaining weights. A distinguishing feature of our study is that we use revealed preference testing tools to assess the goodness-of-fit and discriminatory power of alternative specifications of the collective model. Our experimental results suggest that the most appropriate model specification allows for a limited variation of the bargaining weights.     

Gender differences in risk behaviour in financial decision-making: An experimental analysis

This paper examines whether gender differences in risk propensity and strategy in financial decision-making can be viewed as general traits, or whether they arise because of context factors. It presents the results of two computerised laboratory experiments designed to examine whether differences in risk preference and decision strategies are explained by the framing of tasks and level of task familiarity to subjects. The results show that females are less risk seeking than males irrespective of familiarity and framing, costs or ambiguity. The results also indicate that males and females adopt different strategies in financial decision environments but that these strategies have no significant impact on ability to perform. Because strategies are more easily observed than either risk preference or outcomes in day to day decisions, strategy differences may reinforce stereotypical beliefs that females are less able financial managers.     

Family involvement in the institutional eldercare context. Towards a new understanding

This article focuses on family involvement and its various patterns and expressions in the context of end-of-life care in a nursing home. Based on analyses from an ethnographic study carried out at a nursing home ward, the aim is to describe and analyze the conditions of aging and dying for the old residents, as well as effects on their visiting families and relatives. As in similar research findings, it became clear from the study that families continue to visit and contribute to the care of the old resident throughout the years, from the time of placement to their demise, but that this involvement might vary both in content and in extent. However, it was found that families' involvement (as well as their changing relationships and roles) is particularly shaped by the very process of dying and lingering aura of death on the ward. The analysis presented in the article evinces the difficult — and in many ways impossible — role of the family in the institutional end-of-life setting, and discloses the various patterns and manifestations of family involvement in this environment. Different meanings and implications of family involvement are discussed and highlighted.     

Risky behaviour: a new framework for understanding why young people take risks

Theories of youth risk taking range from the realist to the sociocultural. Much of this theorising, particularly in the field of epidemiology, has been strongly influenced by the Health Belief Framework. More recently, attention has shifted to understanding how young people perceive risk and what makes some of them resilient to risk taking. In this article we develop a framework that brings together diverse theoretical perspectives on youth risk taking. We draw on lessons from across the social science disciplines to inform a conceptual framework incorporating the broad context and internal processes of young people's decisions to take risks. Our Youth Risk Interpretation Framework (Y-RIF) has been developed from insights gained during an ethnographic study conducted in South Africa (Graham, Lauren, 2012. Understanding risk in the everyday identity-work of young people on the East Rand of Johannesburg. Doctoral Thesis. University of Johannesburg, Johannesburg.). We argue that our framework is useful, as it offers new ways of understanding why some young people take risks while others are more cautious. It could be used to inform youth behaviour surveillance research and interventions. However, it will need to be rigorously tested.     

The mobile phone: Towards new categories and social relations

The debate over the social use of the mobile phone has been enriched by a large amount of information and reflection as to how this instrument has modified interpersonal relations, changed roles in the family, re-defined the limits of communicative possibilities, rewritten the present functioning of institutions such as hospitals and schools, as well as the modus operandi of criminal organizations, intensified work rhythms, rationalized the organization of work relations, in a word, how the use of the mobile has profoundly changed society.² On the contrary, less attention has been dedicated to the reconstruction and analysis of the impulse that its users have given the mobile (see its unexpected transformation, from the king of orality to a means of writing and reading). The main thesis of this article is that the mobile is changing not only society, but above all the framework in which society lives. This framework is made up of space and time as its primary determinations, which are able to integrate, stabilize and structure reality. The mobile changes reality in its widest sense, or rather its social representation. Let us remember with McLuhan (1964), Meyrowitz (1985) and many other scholars, that the medium is not only the message, but also a specific concept of time and space, that is, a specific dimension of existence. In the following sections, above all the changes that have been brought about to space and time will be dealt with, and then how the statute of the presence and absence of individuals in social space is modified will be analysed, how the relation between modern citizens changes radically with public space, and finally how the democratic process is enriched by further implementations.