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Selfish-biased conditional cooperation: On the decline of contributions in repeated public goods experiments

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  • Neugebauer, Tibor
  • Perote, Javier
  • Schmidt, Ulrich
  • Loos, Malte

Abstract

In the recent literature, several competing hypotheses have been advanced to explain the stylized fact of declining contributions in repeated public goods experiments. We present results of an experiment that has been designed to evaluate these hypotheses. The experiment elicits individual beliefs about the contributions of the partners in the repeated game and involves between-subjects variation on information feedback. The data favor the hypothesis of selfish-biased conditional cooperation as the source for the declining contributions over the competing hypotheses.

Suggested Citation

  • Neugebauer, Tibor & Perote, Javier & Schmidt, Ulrich & Loos, Malte, 2009. "Selfish-biased conditional cooperation: On the decline of contributions in repeated public goods experiments," Journal of Economic Psychology, Elsevier, vol. 30(1), pages 52-60, February.
  • Handle: RePEc:eee:joepsy:v:30:y:2009:i:1:p:52-60
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    More about this item

    Keywords

    Experimental economics Information feedback Belief formation Public goods Voluntary contributions Conditional cooperation;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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