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Coalition Formation and Voting in Public Goods Games

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  • Dannenberg, Astrid
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    Abstract

    This study experimentally examines the voluntary formation of coalitions to provide a public good when the coalition members use different voting schemes to determine their commitment. To this end, unanimity, qualified majority voting, and simple majority voting are compared with respect to the resulting public good provision level and social welfare. At first sight, in line with theoretical predictions, the experiment shows that a change in the voting scheme implemented in a coalition does not significantly change the social welfare. However, changing the majority required to determine the coalition efforts alters the depth and breadth of cooperation; coalitions under the unanimity rule are relatively large and implement moderate effort levels while coalitions with majority voting implement high effort levels but attract only a few participants.

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    File URL: http://dx.doi.org/10.1561/102.00000011
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    Bibliographic Info

    Article provided by now publishers in its journal Strategic Behavior and the Environment.

    Volume (Year): 2 (2012)
    Issue (Month): 1 (January)
    Pages: 83-105

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    Handle: RePEc:now:jnlsbe:102.00000011

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    Web page: http://www.nowpublishers.com/

    Related research

    Keywords: Public goods; Coalition formation; Cooperation; Voting;

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    Cited by:
    1. Anke Gerber & Jakob Neitzel & Philipp Christoph Wichardt, 2012. "Minimum Participation Rules for the Provision of Public Goods," CESifo Working Paper Series 3733, CESifo Group Munich.
    2. Simon Dietz & Carmen Marchiori & Alessandro Tavoni, 2012. "Domestic politics and the formation of international environmental agreements," Grantham Research Institute on Climate Change and the Environment Working Papers 87, Grantham Research Institute on Climate Change and the Environment.
    3. Alfred Endres & Bianca Rundshagen, 2013. "Incentives to Diffuse Advanced Abatement Technology Under the Formation of International Environmental Agreements," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 56(2), pages 177-210, October.

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