Coupled lotteries—A new method to analyze inequality aversion

We develop and implement a new measure for inequality aversion: two peers are endowed with identical binary lotteries the only choice they make is whether want to play out independently or perfect positive correlation (coupling). Coupling has core reason prevent outcome inequality. method in survey rural Thailand as well supplemental sample lab Germany. In line previous literature, coupling related being more risk averse, having social status concerns, relying often on formal informal insurance. However, not giving dictator game.