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© 2014, Economic Science Association. This paper examines the relationship between norm enforcement and in-group favouritism behaviour. Using a new two-stage allocation experiment with punishments, we investigate whether in-group favouritism is considered as a social norm in itself or as a violation of a different norm, such as egalitarian norm. We find that which norm of behaviour is enforced depends on who the punisher is. If the punishers belong to the in-group, in-group favouritism is considered a norm and it does not get punished. If the punishers belong to the out-group, in-group favouritism is frequently punished. If the punishers belong to no group and merely observe in-group favouritism (the third-party), they do not seem to care sufficiently to be willing to punish this behaviour. Our results shed a new light on the effectiveness of altruistic norm enforcement when group identities are taken into account and help to explain why in-group favouritism is widespread across societies.

Original publication

DOI

10.1007/s10683-014-9417-9

Type

Journal article

Journal

Experimental Economics

Publication Date

11/09/2015

Volume

18

Pages

491 - 521