We explore public good experiments in which players have the opportunity to form cooperative coalitions. The decision to join a coalition is voluntary as is a member's decision to comply with the terms of the coalition. An informal enforcement mechanism is examined in which coalition members and...

Several laboratory experiments and market-based research in the fields of psychology, economics and marketing have provided increasing evidence of individuals exhibiting loss aversion tendencies, with decision-making based on a pre-existing reference point. This creates an S-shaped value...