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When in Rome: conformity and the provision of public goods

  • Carpenter, Jeffrey P.

We ask whether conformity, copying the most observed behavior in a population, can affect free riding in a public goods situation. Our model suggests that, if free riding is sufficiently frequent at the start of a public goods game, conformity will increase the growth rate of free riding. We confirm this prediction in the experimental lab by showing that more free riding occurs when players have information about the distribution of contributions than when players know only the aggregate contribution level. As a stricter test, we econometrically estimate the dynamic on which the model is based and find that, controlling for the payoff incentive to free ride, players react significantly to the number of free riders in their groups. Further, conformity is significantly stronger when players have more information about the choices of others.

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Article provided by Elsevier in its journal Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics).

Volume (Year): 33 (2004)
Issue (Month): 4 (September)
Pages: 395-408

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Handle: RePEc:eee:soceco:v:33:y:2004:i:4:p:395-408
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/620175

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  12. Keser, Claudia & van Winden, Frans, 2000. " Conditional Cooperation and Voluntary Contributions to Public Goods," Scandinavian Journal of Economics, Wiley Blackwell, vol. 102(1), pages 23-39, March.
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  17. Gale, John & Binmore, Kenneth G. & Samuelson, Larry, 1995. "Learning to be imperfect: The ultimatum game," Games and Economic Behavior, Elsevier, vol. 8(1), pages 56-90.
  18. Bergstrom, Theodore & Blume, Lawrence & Varian, Hal, 1986. "On the private provision of public goods," Journal of Public Economics, Elsevier, vol. 29(1), pages 25-49, February.
  19. Croson, Rachel T. A., 1996. "Partners and strangers revisited," Economics Letters, Elsevier, vol. 53(1), pages 25-32, October.
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  25. Miller, John H. & Andreoni, James, 1991. "Can evolutionary dynamics explain free riding in experiments?," Economics Letters, Elsevier, vol. 36(1), pages 9-15, May.
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