‘Expressive’ obligations in public good games: Crowding-in and crowding-out effects
AbstractWe study individual contributions in a repeated linear public good experiment in which, in each period, subjects are required to contribute a minimum amount and face a certain probability of being audited. Audited subjects who contribute less than the required amount are convicted to pay the difference between the obligation and the voluntary contribution. We investigate the ‘expressive’ force of the obligations. While at early stages subjects contribute the minimum level, with repetition contributions decline below the required amount. We observe that expressive obligations exert a rather robust crowding-out effect on voluntary contributions as compared to a linear public good game. Crowding-out is stronger when payments collected through the auditing procedure are distributed to subjects rather than when they are a deadweight loss.
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Bibliographic InfoArticle provided by Elsevier in its journal Research in Economics.
Volume (Year): 67 (2013)
Issue (Month): 1 ()
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Web page: http://www.elsevier.com/locate/inca/622941
‘Expressive’ obligations; Motivation crowding theory; Social dilemmas;
Other versions of this item:
- Michele Bernasconi & Luca Corazzini & Anna Marenzi, 2010. "‘Expressive’ Obligations in Public Good Games: Crowding-in and Crowding-out Effects," Working Papers 2010_04, Department of Economics, University of Venice "Ca' Foscari".
- C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
- H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion
- H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
- K40 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - General
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