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Voluntary provision of public knowledge goods: group-based social preferences and coalition formation

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  • Tom Dedeurwaerdere
  • Paolo Melindi-Ghidi
  • Willem Sas

Abstract

In this paper we develop a private-collective model of voluntary public knowledge production, where group-based social preferences have an impact on coalition formation. Our theoretical model builds on the large empirical literature on voluntary production of pooled public knowledge goods, including source code in communities of software developers or data provided to open access data repositories. Our analysis shows under which conditions social preferences such as 'group belonging' or 'peer approval' influence stable coalition size, as such rationalising several stylized facts emerging from large scale surveys of Free/Libre/Open-Source software developers (David and Shapiro, 2008), previously unaccounted for. Furthermore, heterogeneity of social preferences is added to the model to study the formation of stable, but mixed coalitions.
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Suggested Citation

  • Tom Dedeurwaerdere & Paolo Melindi-Ghidi & Willem Sas, 2015. "Voluntary provision of public knowledge goods: group-based social preferences and coalition formation," Working Papers of Department of Economics, Leuven 526021, KU Leuven, Faculty of Economics and Business (FEB), Department of Economics, Leuven.
  • Handle: RePEc:ete:ceswps:526021
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    More about this item

    JEL classification:

    • C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • H40 - Public Economics - - Publicly Provided Goods - - - General
    • L17 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Open Source Products and Markets

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