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• W2010064710 abstract "When does a common group identity improve efficiency in coordination games? To answer this question, we propose a group-contingent social preference model and derive conditions under which social identity changes equilibrium selection. We test our predictions in the minimum-effort game in the laboratory under parameter configurations which lead to an inefficient low-effort equilibrium for subjects with no group identity. For those with a salient group identity, consistent with our theory, we find that learning leads to ingroup coordination to the efficient high-effort equilibrium. Additionally, our theoretical framework reconciles findings from a number of coordination game experiments. (JEL C71, C91, D71)" @default.
• W2010064710 created "2016-06-24" @default.
• W2010064710 creator A5024040517 @default.
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• W2010064710 date "2011-10-01" @default.
• W2010064710 modified "2023-10-17" @default.
• W2010064710 title "The Potential of Social Identity for Equilibrium Selection" @default.
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• W2010064710 doi "https://doi.org/10.1257/aer.101.6.2562" @default.
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