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Behaviour in a Two-Stage Public Goods Experiment

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Abstract

In a two-stage public goods experiment, we study the effect that subjects’ possibility of contributing to a public good in the first stage of the game has on the voluntary contributions to the second public good. Our results show that subjects do not follow either the Nash strategy or the Pareto efficient strategy and that they perceive the two public goods as substitutes.

Suggested Citation

  • Massimo Finocchiaro Castro, 2005. "Behaviour in a Two-Stage Public Goods Experiment," Royal Holloway, University of London: Discussion Papers in Economics 05/05, Department of Economics, Royal Holloway University of London, revised May 2005.
  • Handle: RePEc:hol:holodi:0505
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    Keywords

    public goods; experiments; voluntary provision.;

    JEL classification:

    • A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior

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