scispace - formally typeset
Open AccessJournal ArticleDOI

A simple mechanism for the efficient provision of public goods - experimental evidence

Reads0
Chats0
TLDR
In this paper, a series of experiments designed to investigate the factor of incentive mechanisms in the case of private provisions of public goods is presented. But the results showed that the proposed incentive mechanism is very promising.
Abstract
The author reports on a series of experiments designed to investigate the factor of incentive mechanisms in the case of private provisions of public goods. In the Control treatment, there was no mechanism so that subjects faced strong free-riding incentives. In the so-called Falkinger mechanism treatment, the author implemented the Falkinger mechanism. The studies explored the impact of the mechanism in different economic environments. Results showed that the proposed incentive mechanism is very promising. Section I of the paper introduces the mechanism to be examined. Section II discusses the experimental design. Empirical results are provided in Section III, and Section IV interprets these results followed by a summary.

read more

Content maybe subject to copyright    Report

University of Zurich
Zurich Open Repository and Archive
Winterthurerstr. 190
CH-8057 Zurich
http://www.zora.unizh.ch
Year: 2000
A simple mechanism for the efficient provision of public goods:
experimental evidence
Falkinger, Josef; Fehr, Ernst; Gächter, Simon; Winter-Ebmer, Rudolf
Falkinger, Josef; Fehr, Ernst; Gächter, Simon; Winter-Ebmer, Rudolf. A simple mechanism for the efficient
provision of public goods: experimental evidence. American Economic Review 2000, 90(1):247-264.
Postprint available at:
http://www.zora.unizh.ch
Posted at the Zurich Open Repository and Archive, University of Zurich.
http://www.zora.unizh.ch
Originally published at:
American Economic Review 2000, 90(1):247-264
Falkinger, Josef; Fehr, Ernst; Gächter, Simon; Winter-Ebmer, Rudolf. A simple mechanism for the efficient
provision of public goods: experimental evidence. American Economic Review 2000, 90(1):247-264.
Postprint available at:
http://www.zora.unizh.ch
Posted at the Zurich Open Repository and Archive, University of Zurich.
http://www.zora.unizh.ch
Originally published at:
American Economic Review 2000, 90(1):247-264

A simple mechanism for the efficient provision of public goods:
experimental evidence
Abstract
The author reports on a series of experiments designed to investigate the factor of incentive mechanisms
in the case of private provisions of public goods. In the Control treatment, there was no mechanism so
that subjects faced strong free-riding incentives. In the so-called Falkinger mechanism treatment, the
author implemented the Falkinger mechanism. The studies explored the impact of the mechanism in
different economic environments. Results showed that the proposed incentive mechanism is very
promising. Section I of the paper introduces the mechanism to be examined. Section II discusses the
experimental design. Empirical results are provided in Section III, and Section IV interprets these results
followed by a summary.




Citations
More filters
Journal ArticleDOI

When Does Learning in Games Generate Convergence to Nash Equilibria? The Role of Supermodularity in an Experimental Setting ⁄

TL;DR: In this paper, the role of supermodularity in achieving convergence to Nash equilibria was investigated using a game from the literature on solutions to externalities, and the authors systematically vary a free parameter below, close to, at and beyond the threshold of super-modularity to assess its effects on convergence.
Journal ArticleDOI

Not just babble: Opening the black box of communication in a voluntary contribution experiment

TL;DR: In this article, a voluntary contribution experiment was conducted where participants were asked to make non-binding numerical announcements about their "possible" contributions and send written promises to contribute specific amounts.
Journal ArticleDOI

What norms trigger punishment

TL;DR: In this article, the authors empirically recover the set of norms used most often by monitors and show that the decision to punish should be modeled separately from the decision of how much to punish.
Journal ArticleDOI

Valuing environmental benefits of silvopasture practice: a case study of the Lake Okeechobee watershed in Florida

TL;DR: In this paper, the public demand for these environmental services in south-central Florida's Lake Okeechobee watershed using a stated preference approach was estimated using a random parameter logit model.
Posted ContentDOI

Intertemporal Choice under Habit Formation

TL;DR: The authors reported the results of an inter-temporal choice experiment with habit-formation subjects' choices deviate systematically from individually optimal decisions in the direction of over consumption This over consumption is partly driven by loss avoidance, comparable to a real life situation in which addicted people consume addictive substances only in order to overpower withdrawal symptoms.
References
More filters
Book

An introduction to the bootstrap

TL;DR: This article presents bootstrap methods for estimation, using simple arguments, with Minitab macros for implementing these methods, as well as some examples of how these methods could be used for estimation purposes.
Book

Nonparametric statistics for the behavioral sciences

Sidney Siegel
TL;DR: This is the revision of the classic text in the field, adding two new chapters and thoroughly updating all others as discussed by the authors, and the original structure is retained, and the book continues to serve as a combined text/reference.
Journal ArticleDOI

z-Tree: Zurich toolbox for ready-made economic experiments

TL;DR: Z-Tree as mentioned in this paper is a toolbox for ready-made economic experiments, which allows programming almost any kind of experiments in a short time and is stable and easy to use.
Journal ArticleDOI

A theory of fairness, competition and cooperation

TL;DR: This paper showed that if some people care about equity, the puzzles can be resolved and that the economic environment determines whether the fair types or the selesh types dominate equilibrium behavior in cooperative games.
Journal ArticleDOI

The Pure Theory of Public Expenditure

TL;DR: In this paper, the authors propose a method to use the information of the user's interaction with the service provider in order to improve the quality of the service provided to the user.
Related Papers (5)