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We introduce democratic mechanisms where individual utilities are not observable by other people at the legislative stage. We show that the combination of three rules can yield e±cient provision of public projects: first, flexible and double majority rules where the size of the majority depends...
Persistent link: https://www.econbiz.de/10011410447
We examine whether and how democratic procedures can achieve socially desirable public good provision in the presence of deep uncertainty about the benefits of the public good, i.e., when citizens are able to identify the distribution of benefits only if they aggregate their private information....
Persistent link: https://www.econbiz.de/10013050880
We introduce democratic mechanisms where individual utilities are not observable by other people at the legislative stage. We show that the combination of three rules can yield efficient provision of public projects: First, flexible and double majority rules where the size of the majority...
Persistent link: https://www.econbiz.de/10013320472
The Kyoto summit initiated an international game of cap and trade. Unlike a national policy, the essence of this game is the self-selection of national emission targets. This differs from the standard global public-goods game because targets are met in the context of a global carbon market. This...
Persistent link: https://www.econbiz.de/10014191875
Greenhouse gas abatement is a public good, so climate policy is a public-goods game and suffers from the free-rider incentives that make the outcome of such games notoriously uncooperative. Adopting an international agreement can change the nature of the game, reducing or exacerbating the...
Persistent link: https://www.econbiz.de/10014044933
Cartels are inherently instable. Each cartelist is best off if it breaks the cartel, while the remaining firms remain loyal. If firms interact only once, if products are homogenous, if firms compete in price, and if marginal cost is constant, theory even predicts that strategic interaction...
Persistent link: https://www.econbiz.de/10003877116
This paper studies the effect of introducing costly partner selection for the voluntary contribution to a public good. Subjects participate in six sequences of five rounds of a twoperson public good game in partner design. At the end of each sequence, subjects can select a new partner out of six...
Persistent link: https://www.econbiz.de/10009728988
When multiple charities, social programs and community projects simultaneously vie for funding, donors risk miscoordinating their contributions leading to an inefficient distribution of funding across projects. Community chests and other intermediary organizations facilitate coordination among...
Persistent link: https://www.econbiz.de/10012140235
We develop a model that relates self-control and conflict identification to cooperation patterns in social dilemmas. As predicted, we find in a laboratory public goods experiment a robust association between stronger self-control and higher levels of cooperation. This means that there is...
Persistent link: https://www.econbiz.de/10009419533
We develop a model relating self-control, risk preferences and conflict identification to cooperation patterns in social dilemmas. We subject our model to data from an experimental public goods game and a risk experiment, and we measure conflict identification and self-control. As predicted, we...
Persistent link: https://www.econbiz.de/10009490199