This paper considers a procedurally fair provision mechanism that allows members of a small group to determine, through their bids, which project to implement. Previous experiments with (only) costly projects have demonstrated that the mechanism is efficiency enhancing. Our experiment tests...

We use experimental methods to study the power of leading by words. The context is a voluntary contribution mechanism with one-way communication. One group member can send a free-form text message to his fellow players. Contrary to the commonly accepted wisdom that the cooperation-enhancing...