Competitive Altruism and Endogenous Reference Group Selection in Private Provision of Environmental Public Goods
AbstractWe develop and test a model of social comparison in which individuals gain status through pro-social behavior (competitive altruism) and in which they endogenously choose the reference group and associated reference standard involved in signaling status (reference group selection). In our framework of private provision of environmental public goods, the optimal reference standard involves a balance between the magnitude of the status signal (implying a low reference standard) and the higher value of the signal in a greener social environment. By using a unique set of survey data we find evidence of (a) respondents behaving in a competitively altruistic fashion and (b) reference persons’ intensity of pro-environmental behavior depending on relevant attitudes of the respondents, consistent with predictions from our framework of reference group selection.
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Bibliographic InfoPaper provided by University of Oldenburg, Department of Economics in its series Working Papers with number V-350-12.
Length: 32 pages
Date of creation: Oct 2012
Date of revision: Oct 2012
Publication status: Published in Oldenburg Working Papers V-350-12
competitive altruism; reference groups; endogenous reference standard; pro-environmental behavior; private public good provision;
Find related papers by JEL classification:
- D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy
- H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
- H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
- Q00 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-06-09 (All new papers)
- NEP-CBE-2013-06-09 (Cognitive & Behavioural Economics)
- NEP-ENV-2013-06-09 (Environmental Economics)
- NEP-EVO-2013-06-09 (Evolutionary Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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