Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/215315 
Year of Publication: 
2020
Series/Report no.: 
IZA Discussion Papers No. 12919
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
In-group bias can be detrimental for communities and economic development. We study the causal effect of financial constraints on in-group bias in prosocial behaviors – cooperation, norm enforcement, and sharing – among low-income rice farmers in rural Thailand, who cultivate and harvest rice once a year. We use a between-subjects design – randomly assigning participants to experiments either before harvest (more financially constrained) or after harvest. Farmers interacted with either in-group or out-group partners at village level. We find that in-group bias in cooperation and norm enforcement exist only after harvest, that is, when people are less financially constrained.
Subjects: 
cooperation
financial constraints
in-group bias
lab-in-the-field experiment
norm enforcement
JEL: 
C93
D64
D91
Document Type: 
Working Paper

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