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This paper presents a formal theory of reciprocity. Reciprocity means that people reward kind actions and punish unkind ones. The theory takes into account that people evaluate the kindness of an action not only by its consequences but also by the intention underlying this action. The theory...
Persistent link: https://www.econbiz.de/10011398368
This paper presents a formal theory of reciprocity. Reciprocity means that people reward kind actions and punish unkind ones. The theory takes into account that people evaluate the kindness of an action not only by its consequences but also by the intention underlying this action. The theory...
Persistent link: https://www.econbiz.de/10013321364
receive restricted access (a lower share). In a laboratory experiment Rank-Order-VCM elicits median contributions equal to the …
Persistent link: https://www.econbiz.de/10012064430
Friendship is commonly assumed to reduce strategic uncertainty and enhance tacit coordination. However, this assumption … has never been tested across two opposite poles of coordination involving either strategic complementarity or … substitutability. We had participants interact with friends or strangers in two classic coordination games: the stag hunt game, which …
Persistent link: https://www.econbiz.de/10012215990
We present experimental evidence for decision settings where public good providers compete for endogenous donations offered by outside donors. Donors receive benefits from public good provision but cannot provide the good themselves. The performance of three competition mechanisms is examined in...
Persistent link: https://www.econbiz.de/10012650205
This paper examines the role of status acquisition as a motive for giving in voluntary contributions to public goods. In particular, every donor's status is given by the difference between his contribution and that of the other donor. Specifically, I show that contributors give more than in...
Persistent link: https://www.econbiz.de/10012726549
that participants in our experiment contribute more with the egalitarian than with the inverse proportional rule. We also …
Persistent link: https://www.econbiz.de/10012016453
Costless pre-play communication has been found to effectively facilitate coordination and enhance efficiency in games … with Pareto-ranked equilibria. We report an experiment in which two groups compete in a weakest-link contest by expending … costly efforts. Allowing intra-group communication leads to more aggressive competition and greater coordination than control …
Persistent link: https://www.econbiz.de/10014191492
The private provision of public goods suffers from two potential types of efficiency failures: non-optimal output levels of the public good (quantity problem) and an inefficient mix of contributors and non-contributors (sorting problem). Embedding the provision game into a contest that rewards...
Persistent link: https://www.econbiz.de/10014212027
In this paper we provide a political game where agents decide whether to become legislators or politicians. Legislators determine the political institutions constraining politicians' behavior and politicians compete for gaining the power to make decisions about the level of the public good. We...
Persistent link: https://www.econbiz.de/10010343846