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Do clubs foster provision success ?

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  • Mohamed Ali Bchir
  • Marc Willinger

Abstract

We report the results of an experiment on the provision of a step-level collective good. We compare subjects’ behavior in a public good game and in a club good game. In the club good game, players who contribute less than the amount required to become a member, do not benefit from the collective good. Compared to the benchmark step-level public good, we find that the introduction of a small membership fee has surprisingly strong effects. It increases significantly the provision success of the collective good.

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File URL: http://www.lameta.univ-montp1.fr/Documents/DR2009-19.pdf
File Function: First version, 2009
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Paper provided by LAMETA, Universtiy of Montpellier in its series Working Papers with number 09-19.

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Length: 31 pages
Date of creation: Dec 2009
Date of revision: Dec 2009
Handle: RePEc:lam:wpaper:09-19

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  1. Boun My, Kene & Chalvignac, Benoît, 2010. "Voluntary participation and cooperation in a collective-good game," Journal of Economic Psychology, Elsevier, vol. 31(4), pages 705-718, August.
  2. J. B. Van Huyck & R. C. Battalio & R. O. Beil, 2010. "Tacit coordination games, strategic uncertainty, and coordination failure," Levine's Working Paper Archive 661465000000000393, David K. Levine.
  3. Cason, Timothy N. & Saijo, Tatsuyoshi & Yamato, Takehiko & Yokotani, Konomu, 2004. "Non-excludable public good experiments," Games and Economic Behavior, Elsevier, vol. 49(1), pages 81-102, October.
  4. Kurtis Swope, 2002. "An Experimental Investigation of Excludable Public Goods," Experimental Economics, Springer, vol. 5(3), pages 209-222, December.
  5. Rachel Croson & Melanie Marks, 2000. "Step Returns in Threshold Public Goods: A Meta- and Experimental Analysis," Experimental Economics, Springer, vol. 2(3), pages 239-259, March.
  6. R. Isaac & David Schmidtz & James Walker, 1989. "The assurance problem in a laboratory market," Public Choice, Springer, vol. 62(3), pages 217-236, September.
  7. Urs Fischbacher, 2007. "z-Tree: Zurich toolbox for ready-made economic experiments," Experimental Economics, Springer, vol. 10(2), pages 171-178, June.
  8. Marks, Melanie & Croson, Rachel, 1998. "Alternative rebate rules in the provision of a threshold public good: An experimental investigation," Journal of Public Economics, Elsevier, vol. 67(2), pages 195-220, February.
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