IDEAS home Printed from https://ideas.repec.org/p/usi/labsit/025.html
   My bibliography  Save this paper

Individuals' Voting Choice and Cooperation in Repeated Social Dilemma Games

Author

Listed:
  • Annamaria Nese
  • Patrizia Sbriglia

Abstract

In this paper we explore the relationship between the individual’s preference for cooperation and the establishment of cooperative norms. Our aim is to provide an experimental test of the evolutionary hypothesis (see Carpenter, 2004, Fehr and Gachter 2002; Gintis 2000; Boyd, Bowles, Gintis and Richerson 2003; Bowles and Gintis 2004), according to which individuals are prepared to punish defectors in experimental social dilemma games because they want to enforce a social (“altruistic”) norm which may conduce to increasing their future payoffs, as in the case of sanctions against free riding behaviour. According to this line of research , the high levels of cooperation we observe in our societies can, therefore, be strictly related to the establishment of social norms which are able to enforce and maintain cooperation in the long run. We study the results of two experiments in which the individuals decided both whether to participate in a common project and the institutional rule according to which the profits of the project had to be shared among each of the participants in the group. They could choose between 1) a regime where gains were shared equally, regardless of individuals’ contributions and without sanctions and rewards (System A); 2) a regime where individuals were paid according to their marginal contribution, but the profits of the investments were lower than in the other contexts (System B); finally 3) a regime in which gains were shared equally (as in System A), but individuals were allowed to punish (and\or reward) free riding (cooperative) behaviours as in Sefton, Shupp and Walker (2007). Before the experiments took place, our subjects were required to fill a questionnaire composed of four sections, where their attitude to cooperate and their opinions on civic values and free riding behaviours were thoroughly explored. We then monitored the behaviour of potential free riders and cooperators in the game and their institutional choices. Our results partly contradict the evolutionary hypothesis in as much as System A and B received the largest shares of votes in almost all rounds and they were voted by free riders and cooperators alike. Thus, most individuals do not like sanctions (incentives) against defectors and free riders (cooperators), and their institutional preferences do not seem to be related to their willingness to cooperate. The inspection of individual data, however, reveals some interesting points. In fact, we can assert that System C was mostly chosen by cooperative individuals in response to observed free riding behaviour. Furthermore, when a cooperative individual chose C, she would tend to punish free riders and reward cooperators. Our conclusion is that, as far as the institutional choices are concerned, beside the profit motivations underlined in the evolutionary hypothesis, the ethical and cultural unobserved individual preferences play an important role. There is a number of individuals (limited in our experiments, ranging between 15 and 30 per cent of the entire population) who see cooperation as the “right” thing to do, and therefore are prepared to implement institutional rules that may favour this collective outcome. Most people in our experiments did not share these same values.

Suggested Citation

  • Annamaria Nese & Patrizia Sbriglia, 2009. "Individuals' Voting Choice and Cooperation in Repeated Social Dilemma Games," Labsi Experimental Economics Laboratory University of Siena 025, University of Siena.
  • Handle: RePEc:usi:labsit:025
    as

    Download full text from publisher

    File URL: http://www.labsi.org/wp/labsi25.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Arhan Ertan & Talbot Page & Louis Putterman, 2005. "Can Endogenously Chosen Institutions Mitigate the Free-Rider Problem and Reduce Perverse Punishment?," Working Papers 2005-13, Brown University, Department of Economics.
    2. Urs Fischbacher & Simon G�chter, 2005. "Heterogeneous social preferences and the dynamics of free riding in public goods," IEW - Working Papers 261, Institute for Empirical Research in Economics - University of Zurich.
    3. Martin Sefton & Robert Shupp & James M. Walker, 2007. "The Effect Of Rewards And Sanctions In Provision Of Public Goods," Economic Inquiry, Western Economic Association International, vol. 45(4), pages 671-690, October.
    4. Jeffrey Carpenter & Peter Matthews & Okomboli Ong’ong’a, 2004. "Why Punish? Social reciprocity and the enforcement of prosocial norms," Journal of Evolutionary Economics, Springer, vol. 14(4), pages 407-429, October.
    5. Herbert Gintis, 2000. "Strong Reciprocity and Human Sociality," UMASS Amherst Economics Working Papers 2000-02, University of Massachusetts Amherst, Department of Economics.
    6. Annamaria Nese, 2008. "Il problema dell'evasione fiscale: opinioni e comportamenti," STUDI ECONOMICI, FrancoAngeli Editore, vol. 2008(94), pages 95-119.
    7. Rowthorn, Robert E. & Guzmán, Ricardo Andrés & Rodríguez-Sickert, Carlos, 2009. "Theories of the evolution of cooperative behaviour: A critical survey plus some new results," MPRA Paper 12574, University Library of Munich, Germany.
    8. Ernst Fehr & Simon Gächter, 2002. "Altruistic punishment in humans," Nature, Nature, vol. 415(6868), pages 137-140, January.
    9. Samuel Bowles & Herbert Gintis, 1998. "The Evolution of Strong Reciprocity," Research in Economics 98-08-073e, Santa Fe Institute.
    10. Torgler, Benno, 2003. "To evade taxes or not to evade: that is the question," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 32(3), pages 283-302, July.
    11. Pedro Dal Bo & Andrew Foster & Louis Putterman, 2010. "Institutions and Behavior: Experimental Evidence on the Effects of Democracy," American Economic Review, American Economic Association, vol. 100(5), pages 2205-2229, December.
    12. Anabela Botelho & Glenn W. Harrison & Lígia Costa Pinto & Elisabet E. Rutstrom, 2005. "Social norms and social choice," NIMA Working Papers 30, Núcleo de Investigação em Microeconomia Aplicada (NIMA), Universidade do Minho.
    13. Casari, Marco & Luini, Luigi, 2005. "Group Cooperation Under Alternative Peer Punishment Technologies: An Experiment," Purdue University Economics Working Papers 1176, Purdue University, Department of Economics.
    14. Bordignon, Massimo, 1993. "A fairness approach to income tax evasion," Journal of Public Economics, Elsevier, vol. 52(3), pages 345-362, October.
    15. James Andreoni & Brian Erard & Jonathan Feinstein, 1998. "Tax Compliance," Journal of Economic Literature, American Economic Association, vol. 36(2), pages 818-860, June.
    16. Marco Faillo & Stefania Ottone & Lorenzo Sacconi, 2008. "Compliance by believing: an experimental exploration on social norms and impartial agreements," Department of Economics Working Papers 0810, Department of Economics, University of Trento, Italia.
    17. Slemrod, Joel, 1998. "On Voluntary Compliance, Voluntary Taxes, and Social Capital," National Tax Journal, National Tax Association, vol. 51(n. 3), pages 485-91, September.
    18. Simon Gachter & Ernst Fehr, 2000. "Cooperation and Punishment in Public Goods Experiments," American Economic Review, American Economic Association, vol. 90(4), pages 980-994, September.
    19. Jeremy Clark, 1998. "Fairness in Public Good Provision: An Investigation of Preferences for Equality and Proportionality," Canadian Journal of Economics, Canadian Economics Association, vol. 31(3), pages 708-729, August.
    20. Allingham, Michael G. & Sandmo, Agnar, 1972. "Income tax evasion: a theoretical analysis," Journal of Public Economics, Elsevier, vol. 1(3-4), pages 323-338, November.
    21. Bicchieri,Cristina, 2006. "The Grammar of Society," Cambridge Books, Cambridge University Press, number 9780521574907, January.
    22. Thomas R. Palfrey, 2005. "Laboratory Experiments in Political Economy," Working Papers 91, Princeton University, Department of Economics, Center for Economic Policy Studies..
    23. repec:pri:cepsud:111palfrey is not listed on IDEAS
    24. Slemrod, Joel, 1998. "On Voluntary Compliance, Voluntary Taxes, and Social Capital," National Tax Journal, National Tax Association;National Tax Journal, vol. 51(3), pages 485-491, September.
    25. Sandmo, Agnar, 2005. "The Theory of Tax Evasion: A Retrospective View," National Tax Journal, National Tax Association;National Tax Journal, vol. 58(4), pages 643-663, December.
    26. Thomas R. Palfrey, 2005. "Laboratory Experiments in Political Economy," Working Papers 91, Princeton University, Department of Economics, Center for Economic Policy Studies..
    27. Roberto Burlando & Francesco Guala, 2005. "Heterogeneous Agents in Public Goods Experiments," Experimental Economics, Springer;Economic Science Association, vol. 8(1), pages 35-54, April.
    28. Sutter, Matthias & Kocher, Martin & Haigner, Stefan, 2006. "Choosing the Stick or the Carrot? Endogenous Institutional Choice in Social Dilemma Situations," CEPR Discussion Papers 5497, C.E.P.R. Discussion Papers.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nese, Annamaria & Sbriglia, Patrizia, 2009. "Social norms in repeated public good games," Research in Economics, Elsevier, vol. 63(4), pages 266-281, December.
    2. Ertan, Arhan & Page, Talbot & Putterman, Louis, 2009. "Who to punish? Individual decisions and majority rule in mitigating the free rider problem," European Economic Review, Elsevier, vol. 53(5), pages 495-511, July.
    3. Pedro Dal Bo & Andrew Foster & Louis Putterman, 2010. "Institutions and Behavior: Experimental Evidence on the Effects of Democracy," American Economic Review, American Economic Association, vol. 100(5), pages 2205-2229, December.
    4. Jean-Robert Tyran & Thomas Markussen & Louis Putterman, 2011. "Self-Organization for Collective Action: An Experimental Study of Voting on Formal, Informal, and No Sanction Regimes," Vienna Economics Papers vie1103, University of Vienna, Department of Economics.
    5. Charles N. Noussair & Fangfang Tan, 2011. "Voting on Punishment Systems within a Heterogeneous Group," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 13(5), pages 661-693, October.
    6. Thomas Markussen & Louis Putterman & Jean-Robert Tyran, 2011. "Self-Organization for Collective Action: An Experimental Study of Voting on Formal, Informal, and No Sanction Regimes," Working Papers 2011-4, Brown University, Department of Economics.
    7. Marie Claire Villeval, 2012. "Contribution au bien public et préférences sociales : Apports récents de l'économie comportementale," Post-Print halshs-00681348, HAL.
    8. Bazart, C. & Bonein, A., 2014. "Reciprocal relationships in tax compliance decisions," Journal of Economic Psychology, Elsevier, vol. 40(C), pages 83-102.
    9. Gaetano T. Spartà & Gabriele Stabile, 2018. "Tax compliance with uncertain income: a stochastic control model," Annals of Operations Research, Springer, vol. 261(1), pages 289-301, February.
    10. Francesca Bortolami & Luigi Mittone, 2009. "Does Participating in a Collective Decision Affect the Levels of Contributions Provided? An Experimental Investigation," CEEL Working Papers 0902, Cognitive and Experimental Economics Laboratory, Department of Economics, University of Trento, Italia.
    11. Andreas Nicklisch & Irenaeus Wolff, 2011. "Cooperation Norms in Multiple‐Stage Punishment," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 13(5), pages 791-827, October.
    12. Ones, Umut & Putterman, Louis, 2007. "The ecology of collective action: A public goods and sanctions experiment with controlled group formation," Journal of Economic Behavior & Organization, Elsevier, vol. 62(4), pages 495-521, April.
    13. Nikiforakis, Nikos, 2008. "Punishment and counter-punishment in public good games: Can we really govern ourselves," Journal of Public Economics, Elsevier, vol. 92(1-2), pages 91-112, February.
    14. Simon Gaechter & Benedikt Herrmann, 2008. "Reciprocity, culture, and human cooperation: Previous insights and a new cross-cultural experiment," Discussion Papers 2008-14, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham.
    15. Mendoza, Juan P. & Wielhouwer, Jacco L. & Kirchler, Erich, 2017. "The backfiring effect of auditing on tax compliance," Journal of Economic Psychology, Elsevier, vol. 62(C), pages 284-294.
    16. Hammar, Henrik & Jagers, Sverker C. & Nordblom, Katarina, 2009. "Perceived tax evasion and the importance of trust," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 38(2), pages 238-245, March.
    17. Simon Gaechter & Benedikt Herrmann, 2006. "The limits of self-governance in the presence of spite: Experimental evidence from urban and rural Russia," Discussion Papers 2006-13, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham.
    18. Liu, Manwei & van der Heijden, Eline, 2019. "Majority rule or dictatorship? The role of collective-choice rules in resolving social dilemmas with endogenous institutions," Other publications TiSEM 78b5d351-486e-425d-a070-2, Tilburg University, School of Economics and Management.
    19. Jeffrey Carpenter & Peter Matthews, 2002. "Social Reciprocity," Middlebury College Working Paper Series 0229, Middlebury College, Department of Economics.
    20. Liu, Manwei & van der Heijden, Eline, 2019. "Majority rule or dictatorship? The role of collective-choice rules in resolving social dilemmas with endogenous institutions," Discussion Paper 2019-011, Tilburg University, Center for Economic Research.

    More about this item

    Keywords

    public good games; experiments; voting choices;
    All these keywords.

    JEL classification:

    • C90 - Mathematical and Quantitative Methods - - Design of Experiments - - - General
    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:usi:labsit:025. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Alessandro Innocenti (email available below). General contact details of provider: https://edirc.repec.org/data/lasieit.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.