Abstract
We examine the possibility that self-interest, typically thought to undermine social welfare, might reduce in-group bias. We compared the dictator game (DG), where participants unilaterally divide money between themselves and a recipient, and the ultimatum game (UG), where the recipient can reject these offers. Unlike the DG, there is a self-interested motive for UG giving: If participants expect the rejection of unfair offers, they have a monetary incentive to be fair even to out-group members. Thus, we predicted substantial bias in the DG but little bias in the UG. We tested this hypothesis in two studies (N = 3,546) employing a 2 (in-group/out-group, based on abortion position) × 2 (DG/UG) design. We observed the predicted significant group by game interaction, such that the substantial in-group favoritism observed in the DG was almost entirely eliminated in the UG: Giving the recipient bargaining power reduced the premium offered to in-group members by 77.5%.
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