Voluntary Contributions and Framing effect: Theory and Evidence
AbstractOvercontribution in experiments on voluntary contribution to a public good has not yet received a fully satisfactory explanation. In those experiments, subjects cooperate, in contradiction with the game-theoretic prediction. In contrast, in oligopoly-experiments and common pool resource experiments, the Nash equilibrium is usually observed. The externalities generated by the two types of experiments are of the opposite sign: in oligopoly and common pool resources experiments the subjects’ choices generate a negative externality, while in the public good experiment, the actions of the other subjects create a positive externality. In this paper we designed an experiment which allows us to compare the level of overcontribution of the two contexts. Our experiment shows that subjects in the positive context contribute (significantly) more to the public good than the subjects in the negative context. We design a model that relates the difference between the two levels of average contribution, to behavioral differences between two types of players. We provide an empirical characterization of the underlying behaviors
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg in its series Working Papers of BETA with number 9907.
Date of creation: 1999
Date of revision:
Contact details of provider:
Postal: PEGE. 61, Aven. de la Forêt-Noire 67000 Strasbourg
Phone: +33 3 68 85 20 69
Fax: +33 3 68 85 20 70
Web page: http://www.beta-umr7522.fr/
More information through EDIRC
experimental economics; public goods;
Find related papers by JEL classification:
- C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
- H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
You can help add them by filling out this form.
If references are entirely missing, you can add them using this form.