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  • Department of Economics / Institutionen för nationalekonomi med statistik
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  • School of Business, Economics and Law / Handelshögskolan
  • Department of Economics / Institutionen för nationalekonomi med statistik
  • Working papers
  • Redigera dokument
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Public Goods and Minimum Provision Levels: Does the institutional formation affect cooperation?

Sammanfattning
We investigate the role of institutional formation on the implementation of a binding minimum contribution level in a linear public goods game. Groups either face the minimum level exogenously imposed by a central authority or are allowed to decide for themselves by means of a group vote whether or not a minimum level should be implemented. We find a binding minimum contribution level to have a positive and substantially significant effect on cooperation. The main impact is on the extensive margin, meaning that it is possible to force free riders to increase their contribution without crowding out others’ voluntary contributions. This result is robust to the mode of implementation and thus when the minimum level is enforceable, it is a simple policy that will increase provision of the public good.
Övrig beskrivning
JEL:C91, D72, H41
URL:
http://hdl.handle.net/2077/42418
Samlingar
  • Working papers
Fil(er)
gupea_2077_42418_1.pdf (338.2Kb)
Datum
2016-04
Författare
Martinsson, Peter
Persson, Emil
Nyckelord
Public goods
Minimum level
Voting
Experiment
Publikationstyp
report
ISSN
1403-2465
Serie/rapportnr.
Working Papers in Economics
655
Språk
eng
Metadata
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