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Does Public Policy Crowd Out Private Contributions to Public Goods

  • Nyborg, Karine
  • Rege, Mari

It is sometimes claimed that individuals' contributions to public goods are not motivated by economic costs and benefits alone, but that people also have a moral or norm-based motivation. A number of studies indicate that such moral or norm-based motivation might be crowded out, or crowded in, by public policy. This paper discusses some models that can yield insight into the interplay between economic and moral or norm-based motivation for voluntary contributions to public goods, and compares their policy implications. We distinguish between five types of models: Altruism models, social norm models, fairness models, models of commitment and the cognitive evaluation theory. Copyright 2003 by Kluwer Academic Publishers

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Article provided by Springer in its journal Public Choice.

Volume (Year): 115 (2003)
Issue (Month): 3-4 (June)
Pages: 397-418

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Handle: RePEc:kap:pubcho:v:115:y:2003:i:3-4:p:397-418
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