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Competing for Recognition through Public Good Provision

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  • Mattias Polborn

Abstract

Consider a setting in which several groups of individuals with common interests (“clubs”) compete with each other for recognition by other individuals. Depending on the context, recognition may be expressed by these other individuals joining a club, or choosing one club to admire. Clubs compete by providing a public good. Some examples for applications of this model include: (i) Churches missionarizing to attract new members; (ii) Open-source software projects and Wikipedia; (iii) professors of an economics department competing to attract graduate students to their respective fields; (iv) artists and researchers aiming for recognition of their work by their peers and the public. Competition between clubs increases the public good provision level, and a sufficiently strong competition effect may even lead to overprovision.

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Bibliographic Info

Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 1920.

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Date of creation: 2007
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Handle: RePEc:ces:ceswps:_1920

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Keywords: public goods; private provision; clubs; competition;

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  1. Michael Peters & Aloysius Siow, 2000. "Competing Pre-marital Investments," Working Papers peters-00-01, University of Toronto, Department of Economics.
  2. Jean Tirole & Roland Bénabou, 2006. "Incentives and Prosocial Behavior," American Economic Review, American Economic Association, vol. 96(5), pages 1652-1678, December.
  3. Gary S. Becker, 1974. "A Theory of Social Interactions," NBER Working Papers 0042, National Bureau of Economic Research, Inc.
  4. Bergstrom, Theodore & Blume, Lawrence & Varian, Hal, 1986. "On the private provision of public goods," Journal of Public Economics, Elsevier, vol. 29(1), pages 25-49, February.
  5. Steven C. Salop, 1979. "Monopolistic Competition with Outside Goods," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 141-156, Spring.
  6. Tomer Blumkin & Efraim Sadka, 2007. "On the Desirability of Taxing Charitable Contributions," CESifo Working Paper Series 1900, CESifo Group Munich.
  7. Glazer, Amihai & Konrad, Kai A, 1996. "A Signaling Explanation for Charity," American Economic Review, American Economic Association, vol. 86(4), pages 1019-28, September.
  8. Andreoni, James, 1990. "Impure Altruism and Donations to Public Goods: A Theory of Warm-Glow Giving?," Economic Journal, Royal Economic Society, vol. 100(401), pages 464-77, June.
  9. Andreoni, James, 1989. "Giving with Impure Altruism: Applications to Charity and Ricardian Equivalence," Journal of Political Economy, University of Chicago Press, vol. 97(6), pages 1447-58, December.
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Cited by:
  1. Paolo Casini & Lore Vandewalle, 2011. "Public Good Provision in Indian Rural Areas: the Returns to Collective Action by Microfinance Groups," Working Papers 1119, University of Namur, Department of Economics.
  2. Lacetera, Nicola & Macis, Mario, 2008. "Social Image Concerns and Pro-Social Behavior," IZA Discussion Papers 3771, Institute for the Study of Labor (IZA).
  3. Lacetera, Nicola & Macis, Mario & Slonim, Robert, 2010. "Will There Be Blood? Incentives And Substitution Effects In Pro-Social Behavior," Working Papers 2010-02, University of Sydney, School of Economics.
  4. Lacetera, Nicola & Macis, Mario, 2010. "Social image concerns and prosocial behavior: Field evidence from a nonlinear incentive scheme," Journal of Economic Behavior & Organization, Elsevier, vol. 76(2), pages 225-237, November.
  5. Lacetera, Nicola & Macis, Mario, 2008. "Motivating Altruism: A Field Study," IZA Discussion Papers 3770, Institute for the Study of Labor (IZA).

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