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Cycles of conditional cooperation in a real-time voluntary contribution mechanism

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Author Info
M. Vittoria Levati () (Max Planck Institute of Economics, Jena)
Ro'i Zultan () (The Center for Rationality, The Hebrew University of Jerusalem)

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Abstract

This paper provides a new way to identify conditional cooperation in a real-time version of the standard voluntary contribution mechanism. Our approach avoids most drawbacks of the traditional procedures because it relies on endogenous cycle lengths, which are defined by the number of contributors a player waits before committing to a further contribution. Based on hypothetical distributions of randomly generated contribution sequences, we provide strong evidence for conditionally cooperative behavior. Moreover, notwithstanding a decline in contributions, conditional cooperation is found to be stable over time.

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Publisher Info
Paper provided by Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics, Thueringer Universitaets- und Landesbibliothek in its series Jena Economic Research Papers in Economics with number 2009-029.

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Date of creation: 20 Apr 2009
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Handle: RePEc:jrp:jrpwrp:2009-029

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Web page: http://www.jenecon.de

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Related research
Keywords: Public goods game; Real-time protocol; Information feedback; Conditional cooperation; Simulations;

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Find related papers by 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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This page was last updated on 2009-11-18.

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