The tendency to boost the status of and give more resources to ingroup members, compared to outgroup members, is referred to as ingroup favoritism.
Although ingroup favoritism—the propensity to favor members of one's own group over those in other groups—is extensively documented, it is still unclear what psychological processes underlie this behavior. The extent to which ingroup partiality is motivated by preferences for the welfare of ingroup members over outgroup members, as opposed to perceptions about the conduct of ingroup and outgroup members, is particularly uncertain.
In this review, we assess the literature on ingroup bias in economic games, highlighting significant gaps in the study and making recommendations for how future research might apply these insights to understand more about the when, why, and how of ingroup partiality. In doing so, we show how behavioral economics research and discoveries may be combined with social psychology theory and research, opening up new theoretical and methodological avenues for future study.
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