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Common Fate, Game Harmony and Contributions to Public Goods: Experimental Evidence

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  • Luca Corazzini, Robert Sugden.

Abstract

We experimentally study the effects of common fate on voluntary contributions to linear public goods. In each period, earnings are assigned to subjects according to the outcome of a lottery. We manipulate the level of common fate across treatments by varying the degree of harmony in the lottery structure. We observe higher contributions and stronger reciprocity in the most harmonious manipulation. Surprisingly, we find a positive relation between contributions and having experienced a favourable lottery outcome in the previous period, with the strength of this effect being inversely associated with the degree of harmony.

Suggested Citation

  • Luca Corazzini, Robert Sugden., 2009. "Common Fate, Game Harmony and Contributions to Public Goods: Experimental Evidence," ISLA Working Papers 33, ISLA, Centre for research on Latin American Studies and Transition Economies, Universita' Bocconi, Milano, Italy.
    • Handle: RePEc:slp:islawp:islawp33
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    References listed on IDEAS

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    1. Falk, Armin & Fischbacher, Urs, 2006. "A theory of reciprocity," Games and Economic Behavior, Elsevier, vol. 54(2), pages 293-315, February.
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    7. Michael Bacharach & Gerardo Guerra & Daniel Zizzo, 2007. "The Self-Fulfilling Property of Trust: An Experimental Study," Theory and Decision, Springer, vol. 63(4), pages 349-388, December.
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    Cited by:

    1. Sergio Beraldo & Luigino Bruni, 2011. "The semantics of market and civil society: a bird’s eye view of Robert Sugden’s contribution to social sciences," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 58(1), pages 1-8, March.
    2. Matteo M. Marini & Aurora García-Gallego & Luca Corazzini, 2018. "Communication in a threshold public goods game with ambiguity: Anomalies and regularities," Working Papers 2018/03, Economics Department, Universitat Jaume I, Castellón (Spain).

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    More about this item

    Keywords

    Public Goods; Common Fate; Laboratory Experiment.;
    All these keywords.

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • H40 - Public Economics - - Publicly Provided Goods - - - General
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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