Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5058196 | Economics Letters | 2016 | 6 Pages |
Abstract
â¢Asymmetry of information about a donor's income generates a signaling game in the presence of two-sided altruism.â¢Similarly, asymmetry of information regarding the donor's income generates a signaling game in the presence of two-sided altruism.â¢These signaling games put upward pressure on transfers and this pressure increases with the altruism of the recipient.
When donors and recipients care about each other-two-sided altruism-asymmetry of information about the donor's income or about the donor's altruism leads naturally to a signaling game. The desire to signal income or altruism puts upward pressure on transfers.
Related Topics
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Authors
Garance Genicot,