The T. C. Bergstrom, L. E. Blume, and H. R. Varian (1986) model of voluntary contributions to public goods predicts increases in public good provision as the distribution of income becomes more unequal. This model is tested in the laboratory. Group behavior conforms to the model but individual...

Twenty-four laboratory sessions were conducted to evaluate the roles of communication and group heterogeneity when voluntary contributions determine the level of public good provision by small groups of individuals. Simple heterogeneity has one individual in a group having either greater...

This chapter discusses that redistributing resource endowments from people who contribute to public goods to other people who contribute to public goods will have no effect on the aggregate contributions to public goods. However, redistribution from non-contributors to contributors will result...

Increasing attention is being paid to emission trading programs for the control of air and water pollution. The United States EPA has implemented a tradable emission allowance program for sulphur oxides. The EPA auction has been investigated in the laboratory by Cronshaw and Brown Kruse and by...