Bronisław Malinowski in the context of "Small talk"

A gift economy or gift culture is a system of exchange where valuables are not sold, but rather given without an explicit agreement for immediate or future rewards. Social norms and customs govern giving a gift in a gift culture; although there is some expectation of reciprocity, gifts are not given in an explicit exchange of goods or services for money, or some other good or service. This contrasts with a market economy or bartering, where goods and services are primarily explicitly exchanged for value received.

The nature of gift economies is the subject of a foundational debate in anthropology. Anthropological research into gift economies began with Bronisław Malinowski's description of the Kula ring in the Trobriand Islands during World War I. The Kula trade appeared to be gift-like since Trobrianders would travel great distances over dangerous seas to give what were considered valuable objects without any guarantee of a return. Malinowski's debate with the French anthropologist Marcel Mauss quickly established the complexity of "gift exchange" and introduced a series of technical terms such as reciprocity, inalienable possessions, and presentation to distinguish between the different forms of exchange.

Kula, also known as the Kula exchange or Kula ring, is a ceremonial exchange system conducted in the Milne Bay Province of Papua New Guinea. The Kula ring was made famous by Bronisław Malinowski, considered the father of modern anthropology. He used this test case to argue for the universality of rational decision-making and for the cultural nature of the object of their effort. Malinowski's seminal work on the topic, Argonauts of the Western Pacific (1922), directly confronted the question, "Why would men risk life and limb to travel across huge expanses of dangerous ocean to give away what appear to be worthless trinkets?" Malinowski carefully traced the network of exchanges of bracelets and necklaces across the Trobriand Islands, and established that they were part of a system of exchange (the Kula ring), and that this exchange system was clearly linked to political authority.

Malinowski's study became the subject of debate with the French anthropologist, Marcel Mauss, author of The Gift ("Essai sur le don", 1925). Since then, the Kula ring has been central to the continuing anthropological debate on the nature of gift-giving, and the existence of gift economies.