Arbeitspapier

Choosing the carrot or the stick? Endogenous institutional choice in social dilemma situations

We analyze an experimental public goods game in which group members can endogenously determine whether they want to supplement a standard voluntary contribution mechanism with the possibility of rewarding or punishing other group members. We find a large and positive effect of endogenous institutional choice on the level of cooperation in comparison to exogenously implemented institutions. This suggests that participation rights enhance cooperation in groups. With endogenous choice, groups typically vote for the reward option, even though punishment is actually more effective in sustaining high levels of cooperation. Our results are evaluated against the predictions of social preference models.

Sprache
Englisch

Erschienen in
Series: Working Papers in Economics and Statistics ; No. 2008-07

Klassifikation
Wirtschaft
Noncooperative Games
Design of Experiments: Laboratory, Individual
Design of Experiments: Laboratory, Group Behavior
Thema
public goods
punishment
reward
endogenous institutional choice
voting
experiment
Kollektives Handeln
Spieltheorie
Öffentliches Gut
Kooperation
Gruppenentscheidung
Partizipation
Test

Ereignis
Geistige Schöpfung
(wer)
Sutter, Matthias
Haigner, Stefan
Kocher, Martin G.
Ereignis
Veröffentlichung
(wer)
University of Innsbruck, Department of Public Finance
(wo)
Innsbruck
(wann)
2008

Handle
Letzte Aktualisierung
10.03.2025, 11:41 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Sutter, Matthias
  • Haigner, Stefan
  • Kocher, Martin G.
  • University of Innsbruck, Department of Public Finance

Entstanden

  • 2008

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