Similarity and social discounting

Castillo, G ORCID: https://orcid.org/0000-0002-1144-1704 and Beranek, B, 2025. Similarity and social discounting. In: CeDEx Brown Bag seminar, University of Nottingham, 06 February 2025.

Full text not available from this repository.

Abstract

Social discounting refers to the idea that decision-makers discount payoffs as a function of social distance. We introduce a method to measure social distance using interpersonal similarity; that is, how similar or different others are to the decision-maker. We use data from our own preregistered experiments as well from an existing, independently conducted, lab-in-the-field experiment to estimate the structural parameters of social discounting and find evidence for it. Our experiments control for competing explanations to isolate the effect of similarity and thus show that people have a preference for more similar others. Our estimates imply that in order for a decision-maker to willingly forgo $1 and have it instead benefit a dissimilar other, then it would need to increase to at least $1.25. We also find evidence for quasi-hyperbolic social discounting.

Item Type:	Conference contribution
Description:	Talk
Creators:	Castillo, G. and Beranek, B.
Date:	February 2025
Identifiers:	Number Type 2438726 Other
Divisions:	Schools > Nottingham Business School
Record created by:	Jeremy Silvester
Date Added:	16 May 2025 13:00
Last Modified:	16 May 2025 13:00
URI:	https://irep.ntu.ac.uk/id/eprint/53591

Actions (login required)

Edit View

Statistics

Views

Downloads