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Can money heal all wounds? Social exchange norm modulates the preference for monetary versus social compensation.

Cao Y, Yu H, Wu Y, Zhou X - Front Psychol (2015)

Bottom Line: The effectiveness of a certain compensation strategy (e.g., repaying money, sharing loss, etc.) may vary as a function of the social norm/relationship.In the second phase of the experiment, when the participants became transgressors and were asked to compensate for their transgression with money, the social group offered more compensation to the social partners than to the monetary partners, while the monetary group compensated less than the social group in general and showed no difference in their offers to the monetary and social partners.These findings demonstrate that the effectiveness of compensation varies as a function of individuals' preference for communal versus monetary norm and that monetary compensation alone does not heal all wounds.

View Article: PubMed Central - PubMed

Affiliation: Center for Brain and Cognitive Sciences and Department of Psychology, Peking University Beijing, China.

ABSTRACT
Compensation is a kind of pro-social behavior that can restore a social relationship jeopardized by interpersonal transgression. The effectiveness of a certain compensation strategy (e.g., repaying money, sharing loss, etc.) may vary as a function of the social norm/relationship. Previous studies have shown that two types of norms (or relationships), monetary/exchange and social/communal, differentially characterize people's appraisal of and response to social exchanges. In this study, we investigated how individual differences in preference for these norms affect individuals' perception of others' as well as the selection of their own reciprocal behaviors. In a two-phase experiment with interpersonal transgression, we asked the participant to perform a dot-estimation task with two partners who occasionally and unintentionally inflicted noise stimulation upon the participant (first phase). As compensation one partner gave money to the participant 80% of the time (the monetary partner) and the other bore the noise for the participant 80% of the time (the social partner). Results showed that the individuals' preference for compensation (repaying money versus bearing noise) affected their relationship (exchange versus communal) with the partners adopting different compensation strategies: participants tended to form communal relationships and felt closer to the partner whose compensation strategy matched their own preference. The participants could be differentiated into a social group, who tended to form communal relationship with the social partner, and a monetary group, who tended to form communal relationship with the monetary partner. In the second phase of the experiment, when the participants became transgressors and were asked to compensate for their transgression with money, the social group offered more compensation to the social partners than to the monetary partners, while the monetary group compensated less than the social group in general and showed no difference in their offers to the monetary and social partners. These findings demonstrate that the effectiveness of compensation varies as a function of individuals' preference for communal versus monetary norm and that monetary compensation alone does not heal all wounds.

No MeSH data available.


The closeness ratings as a function of the participant subgroup (monetary versus social) and the partner compensation type (monetary versus social). Larger score means closer interpersonal relationship. Error bars indicate standard errors. The asterisks denote the significance level of the simple effect ∗∗∗p < 0.001.
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Figure 4: The closeness ratings as a function of the participant subgroup (monetary versus social) and the partner compensation type (monetary versus social). Larger score means closer interpersonal relationship. Error bars indicate standard errors. The asterisks denote the significance level of the simple effect ∗∗∗p < 0.001.

Mentions: Then we set out to test whether the individual differences in exchange relationship value influenced the participants’ perceived social distance (or, conversely, closeness) with each partner. We carried out repeated measures ANOVA with subgroup (monetary versus social) as a between-subject factor and the partner’s compensation type (paying money versus bearing noise) as a within-subject factor. The main effect of partner’s compensation type was significant, F(1,72) = 36.89, p < 0.001, = 0.34. That is, in general, the participants felt closer with the partner who compensated by bearing the noise (6.5 ± 0.2) than with the partner who compensated by paying money (4.0 ± 0.2). More importantly, the interaction between participant sub-group and partner’s compensation type was significant, F(1,72) = 28.49, p < 0.001, = 0.28 (Figure 4). Specifically, for the monetary group, the partner’s compensation types did not influence feelings of closeness, t(36) < 1, p > 0.1; but for the social group, the closeness with respect to the social partner was significantly higher than that with the monetary partner, t(36) = 12.60, p < 0.001.


Can money heal all wounds? Social exchange norm modulates the preference for monetary versus social compensation.

Cao Y, Yu H, Wu Y, Zhou X - Front Psychol (2015)

The closeness ratings as a function of the participant subgroup (monetary versus social) and the partner compensation type (monetary versus social). Larger score means closer interpersonal relationship. Error bars indicate standard errors. The asterisks denote the significance level of the simple effect ∗∗∗p < 0.001.
© Copyright Policy
Related In: Results  -  Collection

License
Show All Figures
getmorefigures.php?uid=PMC4585206&req=5

Figure 4: The closeness ratings as a function of the participant subgroup (monetary versus social) and the partner compensation type (monetary versus social). Larger score means closer interpersonal relationship. Error bars indicate standard errors. The asterisks denote the significance level of the simple effect ∗∗∗p < 0.001.
Mentions: Then we set out to test whether the individual differences in exchange relationship value influenced the participants’ perceived social distance (or, conversely, closeness) with each partner. We carried out repeated measures ANOVA with subgroup (monetary versus social) as a between-subject factor and the partner’s compensation type (paying money versus bearing noise) as a within-subject factor. The main effect of partner’s compensation type was significant, F(1,72) = 36.89, p < 0.001, = 0.34. That is, in general, the participants felt closer with the partner who compensated by bearing the noise (6.5 ± 0.2) than with the partner who compensated by paying money (4.0 ± 0.2). More importantly, the interaction between participant sub-group and partner’s compensation type was significant, F(1,72) = 28.49, p < 0.001, = 0.28 (Figure 4). Specifically, for the monetary group, the partner’s compensation types did not influence feelings of closeness, t(36) < 1, p > 0.1; but for the social group, the closeness with respect to the social partner was significantly higher than that with the monetary partner, t(36) = 12.60, p < 0.001.

Bottom Line: The effectiveness of a certain compensation strategy (e.g., repaying money, sharing loss, etc.) may vary as a function of the social norm/relationship.In the second phase of the experiment, when the participants became transgressors and were asked to compensate for their transgression with money, the social group offered more compensation to the social partners than to the monetary partners, while the monetary group compensated less than the social group in general and showed no difference in their offers to the monetary and social partners.These findings demonstrate that the effectiveness of compensation varies as a function of individuals' preference for communal versus monetary norm and that monetary compensation alone does not heal all wounds.

View Article: PubMed Central - PubMed

Affiliation: Center for Brain and Cognitive Sciences and Department of Psychology, Peking University Beijing, China.

ABSTRACT
Compensation is a kind of pro-social behavior that can restore a social relationship jeopardized by interpersonal transgression. The effectiveness of a certain compensation strategy (e.g., repaying money, sharing loss, etc.) may vary as a function of the social norm/relationship. Previous studies have shown that two types of norms (or relationships), monetary/exchange and social/communal, differentially characterize people's appraisal of and response to social exchanges. In this study, we investigated how individual differences in preference for these norms affect individuals' perception of others' as well as the selection of their own reciprocal behaviors. In a two-phase experiment with interpersonal transgression, we asked the participant to perform a dot-estimation task with two partners who occasionally and unintentionally inflicted noise stimulation upon the participant (first phase). As compensation one partner gave money to the participant 80% of the time (the monetary partner) and the other bore the noise for the participant 80% of the time (the social partner). Results showed that the individuals' preference for compensation (repaying money versus bearing noise) affected their relationship (exchange versus communal) with the partners adopting different compensation strategies: participants tended to form communal relationships and felt closer to the partner whose compensation strategy matched their own preference. The participants could be differentiated into a social group, who tended to form communal relationship with the social partner, and a monetary group, who tended to form communal relationship with the monetary partner. In the second phase of the experiment, when the participants became transgressors and were asked to compensate for their transgression with money, the social group offered more compensation to the social partners than to the monetary partners, while the monetary group compensated less than the social group in general and showed no difference in their offers to the monetary and social partners. These findings demonstrate that the effectiveness of compensation varies as a function of individuals' preference for communal versus monetary norm and that monetary compensation alone does not heal all wounds.

No MeSH data available.