IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this paper

Social environment and forms of governance: Monetary and non-monetary punishment and the role of emotions

  • Bicskei, Marianna
  • Lankau, Matthias
  • Bizer, Kilian
Registered author(s):

    The question to what extent social environment affects how individuals govern their groups, has received no special academic attention, yet. Within the framework of a ten-period public goods experi&ment we analyse how social identity affects subjects' choice of punishment: They may either sanction group members by monetary and/or by non-monetary sanctions bearing differentconsequences on welfare. What is more, we are also the first to address how emotions influence the effectiveness of punishment in terms of maintaining contributions. Our results show that under the threat of both punishments identity-heterogeneous (out-) groups tend to contribute more to the public good than identity-homogenous (in-) groups. Nevertheless, subjects of out-groups are more likely to govern their group via monetary, in-group members rather via non-monetary punishment. What is more, we demonstrate that emotions of guilt and anger differently affect subsequent contributions dependent on the social environment.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: https://econstor.eu/bitstream/10419/95938/1/78216353X.pdf
    Download Restriction: no

    Paper provided by University of Goettingen, Department of Economics in its series Center for European, Governance and Economic Development Research Discussion Papers with number 202.

    as
    in new window

    Length:
    Date of creation: 2014
    Date of revision:
    Handle: RePEc:zbw:cegedp:202
    Contact details of provider: Postal:
    Platz der Göttinger Sieben 3, 37073 Göttingen

    Web page: http://www.cege.wiso.uni-goettingen.de/

    More information through EDIRC

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

    as in new window
    1. David Masclet & Charles Noussair & Steven Tucker & Marie Claire Villeval, 2003. "Monetary and non Monetary Punishment in the Voluntary Contributions Mechanism," Post-Print halshs-00175251, HAL.
    2. Keser, Claudia & van Winden, Frans, 2000. " Conditional Cooperation and Voluntary Contributions to Public Goods," Scandinavian Journal of Economics, Wiley Blackwell, vol. 102(1), pages 23-39, March.
    3. Urs Fischbacher & Simon Gaechter, 2009. "Social Preferences, Beliefs, and the Dynamics of Free Riding in Public Good Experiments," Discussion Papers 2009-04, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham.
    4. Olivier Bochet & Talbot Page & Louis Putterman, 2005. "Communication and Punishment in Voluntary Contribution Experiments," Working Papers 2005-09, Brown University, Department of Economics.
    5. Lankau, Matthias & Bicskei, Marianna & Bizer, Kilian, 2012. "Cooperation preferences in the provision of public goods: An experimental study on the effects of social identity," Center for European, Governance and Economic Development Research Discussion Papers 148, University of Goettingen, Department of Economics.
    6. Subhasish Dugar, 2013. "Non-Monetary Incentives And Opportunistic Behavior: Evidence From A Laboratory Public Good Game," Economic Inquiry, Western Economic Association International, vol. 51(2), pages 1374-1388, 04.
    7. Ernesto Reuben & Frans van Winden, 2006. "Reciprocity and Emotions when Reciprocators Know each other," CESifo Working Paper Series 1674, CESifo Group Munich.
    8. Astrid Hopfensitz & Ernesto Reuben, 2009. "The Importance of Emotions for the Effectiveness of Social Punishment," Economic Journal, Royal Economic Society, vol. 119(540), pages 1534-1559, October.
    9. Urs Fischbacher, 2007. "z-Tree: Zurich toolbox for ready-made economic experiments," Experimental Economics, Springer, vol. 10(2), pages 171-178, June.
    10. Simon Gachter & Ernst Fehr, 2000. "Cooperation and Punishment in Public Goods Experiments," American Economic Review, American Economic Association, vol. 90(4), pages 980-994, September.
    11. B. Curtis Eaton & Mukesh Eswaran & Robert J. Oxoby, 2011. "Us and `Them': the origin of identity, and its economic implications," Canadian Journal of Economics, Canadian Economics Association, vol. 44(3), pages 719-748, August.
    12. repec:dgr:uvatin:20040098 is not listed on IDEAS
    13. Charles Noussair & Steven Tucker, 2005. "Combining Monetary and Social Sanctions to Promote Cooperation," Economic Inquiry, Western Economic Association International, vol. 43(3), pages 649-660, July.
    14. Kandel, Eugene & Lazear, Edward P, 1992. "Peer Pressure and Partnerships," Journal of Political Economy, University of Chicago Press, vol. 100(4), pages 801-17, August.
    15. Vyrastekova, Jana & Funaki, Yukihiko & Takeuchi, Ai, 2011. "Sanctioning as a social norm: Expectations of non-strategic sanctioning in a public goods game experiment," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 40(6), pages 919-928.
    16. Lindbeck, Assar & Nyberg, Sten & Weibull, Jörgen W., 1997. "Social Norms and Economic Incentives in the Welfare State," Working Paper Series 476, Research Institute of Industrial Economics.
    17. Gachter, Simon & Fehr, Ernst, 1999. "Collective action as a social exchange," Journal of Economic Behavior & Organization, Elsevier, vol. 39(4), pages 341-369, July.
    18. Elster, Jon, 1989. "Social Norms and Economic Theory," Journal of Economic Perspectives, American Economic Association, vol. 3(4), pages 99-117, Fall.
    19. Jon Elster, 1998. "Emotions and Economic Theory," Journal of Economic Literature, American Economic Association, vol. 36(1), pages 47-74, March.
    20. Bosman, Ronald & Sutter, Matthias & van Winden, Frans, 2005. "The impact of real effort and emotions in the power-to-take game," Journal of Economic Psychology, Elsevier, vol. 26(3), pages 407-429, June.
    21. Zeelenberg, M. & van Dijk, W.W. & Manstead, A.S.R., 1998. "The experience of regret and disappointment," Other publications TiSEM 57c0c58e-e9a1-49f0-a024-d, Tilburg University, School of Economics and Management.
    22. George A. Akerlof, 1980. "A Theory of Social Custom, of which Unemployment may be One Consequence," The Quarterly Journal of Economics, Oxford University Press, vol. 94(4), pages 749-775.
    23. Ben-Shakhar, Gershon & Bornstein, Gary & Hopfensitz, Astrid & van Winden, Frans, 2007. "Reciprocity and emotions in bargaining using physiological and self-report measures," Journal of Economic Psychology, Elsevier, vol. 28(3), pages 314-323, June.
    24. Sergio Currarini & Friederike Menge, 2012. "Identity, Homophily and In-Group Bias," Working Papers 2012.37, Fondazione Eni Enrico Mattei.
    25. Solow, John L. & Kirkwood, Nicole, 2002. "Group identity and gender in public goods experiments," Journal of Economic Behavior & Organization, Elsevier, vol. 48(4), pages 403-412, August.
    26. Ronald Bosman & Frans van Winden, 2002. "Emotional Hazard in a Power-to-take Experiment," Economic Journal, Royal Economic Society, vol. 112(476), pages 147-169, January.
    27. Claudia Keser & Frans A.A.M. van Winden, 2000. "Conditional Cooperation and Voluntary Contributions to Public Goods," Tinbergen Institute Discussion Papers 00-011/1, Tinbergen Institute.
    28. Wit, Arjaan P. & Wilke, Henk A. M., 1992. "The effect of social categorization on cooperation in three types of social dilemmas," Journal of Economic Psychology, Elsevier, vol. 13(1), pages 135-151, March.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:zbw:cegedp:202. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (ZBW - German National Library of Economics)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.