First published in 2005, Economics and Social Interaction is a fresh attempt to overcome the traditional inability of economics to deal with interpersonal phenomena that occur within the sphere of markets and productive organizations. It makes use of traditional economic concepts for understanding interpersonal events, while venturing beyond those concepts to give a better account of personalised interactions. In contrast to other books, Economics and Social Interaction offers the reader a rigorous effort at extending economic analysis to a difficult field (...) in a consistent manner, sensitive to insights from other behavioural and social sciences. This collection represents an important contribution to a growing research agenda in the social sciences. (shrink)

This note comments on Bruni and Sugden's interesting notion of fraternity among contract partners as joint commitment to cooperate for mutual benefit. I raise two points on their paper, both concerning the role of sacrifice. First I maintain that, differently from other social preferences, guilt aversion does not imply self-sacrifice. Secondly, I argue that aiming for mutual benefit does not prevent individuals from facing trade-offs between their own and their partners’ surplus, so the notion of sacrifice cannot be entirely eschewed. (...) To the contrary, reciprocal ‘sacrifices’ enhance cooperative intentions and help create feelings of friendliness. (shrink)