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Institutional choice vs communication in social dilemmas – an experimental approach

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  • Bischoff, Ivo

Abstract

This paper presents an experimental study that compares the ability of human groups to escape the tragedy of the commons through institutional change or communication. Teams of five players are placed in a dynamic CPR environment with inefficient institutional settings. The results clearly show the vital importance of communication. At the same time, the groups who were allowed to replace the inefficient institutional settings by other more appropriate rules performed worse than those groups who were not given this opportunity.

Suggested Citation

  • Bischoff, Ivo, 2006. "Institutional choice vs communication in social dilemmas – an experimental approach," Finanzwissenschaftliche Arbeitspapiere 73, Justus Liebig University Giessen, Fachbereich Wirtschaftswissenschaften.
  • Handle: RePEc:zbw:jlufwa:73
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    More about this item

    Keywords

    social dilemmas; laboratory experiment; group behavior; institutional choice; communication;

    JEL classification:

    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • D62 - Microeconomics - - Welfare Economics - - - Externalities
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior

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