Matthias Sutter

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FAIR Seminar Matthias Sutter

We invite you to a FAIR Seminar with Matthias Sutter. Matthias is the Director at the Max Planck Institute For Research On Collective Goods, Professor of Economics at Universität Innsbruck, and Professor of Economics at the University of Cologne. His research focuses on (i) the development of economic decision making in childhood and adolescence, (ii) the economics of credence goods, and (iii) how team decision making differs from individual decision making.

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Title: The formation of economic preferences (co-authored with Alexander Bertermann, Laura Breitkopf, Shyamal Chowdhury and Hannah Schildberg-Hörisch)

Abstract: We use unique panel data on economic preferences of children and adolescents from 3,800 households in rural Bangladesh to comprehensively study preference formation before onset of adulthood. Previous evidence on the formation of children’s preferences is mainly based on cross-sectional data which makes it difficult to study dynamic, within-individual development over time. With our panel, we provide comprehensive empirical evidence on the sources of heterogeneity in dynamic preference trajectories, building on the Cunha and Heckman-model of skill formation. We provide first evidence on self-productivity and cross-fertilization of preferences, and study the role of family members and of parental investments and exogenous shocks.

MATTHIAS SUTTER