“…Even though minimal groups induced via preferences for paintings are purposefully designed to be meaningless, there is overwhelming evidence that people react to such groups in predictable and economically relevant ways. In particular, membership in such artificial groups leads people to behave more altruistically towards members of the ingroup (Chen and Li, 2009;Paetzel and Sausgruber, 2018;Müller, 2019), changes the degree of pro-socialness as well as the distribution of equity-efficiency trade-offs (Müller, 2019), affects the decision-making process beyond the direct effect on the utility function (Le Coq, Tremewan, and Wagner, 2015), improves coordination (Chen and Chen, 2011), decreases trust towards the outgroup (Hargreaves Heap and Zizzo, 2009), increases competitiveness (Cornaglia, Drouvelis, and Masella, 2019) and distorts beliefs (Cacault and Grieder, 2019). An alternative approach to creating groups would be to rely on natural identities, such as gender or race, potentially via priming.…”