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Risk in payoff-equivalent appropriation and provision games

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  • Stoddard, Brock

Abstract

Probabilistic risk is examined within appropriation and provision games. Using a menu design, subjects make decisions in multiple one-shot situations where the individual return or the group return is a random variable. Adding risk over the benefits of cooperation is found to significantly affect subjects’ decisions only in situations in the provision game type where the individual return is probabilistic. In those decision situations, cooperation increases.

Suggested Citation

  • Stoddard, Brock, 2017. "Risk in payoff-equivalent appropriation and provision games," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 69(C), pages 78-82.
    • Handle: RePEc:eee:soceco:v:69:y:2017:i:c:p:78-82
    DOI: 10.1016/j.socec.2017.06.002
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    References listed on IDEAS

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    Cited by:

    1. Hajikhameneh, Aidin & Iannaccone, Laurence R., 2023. "God games: An experimental study of uncertainty, superstition, and cooperation," Games and Economic Behavior, Elsevier, vol. 139(C), pages 88-116.
    2. Brock V Stoddard, 2015. "Probabilistic Production of a Public Good," Economics Bulletin, AccessEcon, vol. 35(1), pages 37-52.
    3. Natalie Struwe & Esther Blanco & James M. Walker, 2023. "No response to changes in marginal incentives in one-shot public good experiments," Working Papers 2023-08, Faculty of Economics and Statistics, Universität Innsbruck.
    4. Freundt, Jana & Lange, Andreas, 2021. "On the voluntary provision of public goods under risk," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 93(C).
    5. Boun My, Kene & Ouvrard, Benjamin, 2019. "Nudge and tax in an environmental public goods experiment: Does environmental sensitivity matter?," Resource and Energy Economics, Elsevier, vol. 55(C), pages 24-48.
    6. Billur Aksoy & Silvana Krasteva, 2020. "When does less information translate into more giving to public goods?," Experimental Economics, Springer;Economic Science Association, vol. 23(4), pages 1148-1177, December.
    7. Caleb A. Cox & Brock Stoddard, 2021. "Common-Value Public Goods and Informational Social Dilemmas," American Economic Journal: Microeconomics, American Economic Association, vol. 13(2), pages 343-369, May.
    8. Evan M. Calford & Timothy N. Cason, 2021. "Contingent Reasoning and Dynamic Public Goods Provision," ANU Working Papers in Economics and Econometrics 2021-679, Australian National University, College of Business and Economics, School of Economics.
    9. Cox, Caleb & Korenok, Oleg & Millner, Edward & Razzolini, Laura, 2018. "Giving, taking, earned money, and cooperation in public good games," Economics Letters, Elsevier, vol. 171(C), pages 211-213.
    10. Vincent Théroude & Adam Zylbersztejn, 2017. "Cooperation in a risky world," Working Papers 1704, Groupe d'Analyse et de Théorie Economique Lyon St-Étienne (GATE Lyon St-Étienne), Université de Lyon.
    11. Cox, Caleb A., 2015. "Cursed beliefs with common-value public goods," Journal of Public Economics, Elsevier, vol. 121(C), pages 52-65.
    12. Thunström, Linda, 2019. "Preferences for fairness over losses," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 83(C).
    13. Caleb A. Cox & Brock Stoddard, 2015. "Framing and Feedback in Social Dilemmas with Partners and Strangers," Games, MDPI, vol. 6(4), pages 1-19, September.
    14. Jana Freundt & Andreas Lange, 2019. "On the Impact of Risky Private and Public Returns in the Private Provision of Public Goods - The Case of Social Investments," CESifo Working Paper Series 7458, CESifo.

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    More about this item

    Keywords

    Common-pool resources; Public goods; Risk; Uncertainty; Cooperation; Laboratory experiments;
    All these keywords.

    JEL classification:

    • D7 - Microeconomics - - Analysis of Collective Decision-Making
    • D8 - Microeconomics - - Information, Knowledge, and Uncertainty
    • H4 - Public Economics - - Publicly Provided Goods
    • C9 - Mathematical and Quantitative Methods - - Design of Experiments

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