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We examine the provision of family public goods using experimental economics methods. With sufficient altruism and shared resource arrangements, families can provide the efficient level of family public goods. Becker's Rotten Kid Theorem asserts that transfers from altruistic parents will induce...
Persistent link: https://www.econbiz.de/10005400571
Johannesson et al.(1996) conjecture that in a coercive, uniform tax setting like dichotomous choice contingent valuation, willingness to pay for public programs would be affected by altruistic consideration of the costs imposed on others. Using a voting-BDM elicitation mechanism, we demonstrate...
Persistent link: https://www.econbiz.de/10005806713
In several major deregulated electricity generation markets, the market operator uses an "automatic mitigation procedure" (AMP) to attempt to suppress the exercise of market power. A leading type of AMP compares the offer price from each generation unit with a recent historical average of...
Persistent link: https://www.econbiz.de/10008871659
Producers of many commodities pay for generic advertising, which is a public good for producers and, in cases like healthy foods, enhances social welfare. Though most programs were initially funded through the Voluntary Contribution Mechanism, many became mandatory to mitigate free riding. This...
Persistent link: https://www.econbiz.de/10009394197
This research examines the effect of three factors—cheap talk, voting, and the status quo of the donation—on the voluntary contribution mechanism (VCM). Using undergraduate business students, results show that contributions as a percent of income in the last of ten rounds range from 18% for...
Persistent link: https://www.econbiz.de/10011070549
This paper exploits a unique opportunity to test parallelism between the field and laboratory for the Voluntary Contribution Mechanism (VCM). Most commodities in the United States have checkoff programs assessing producers for generic advertising and promotion, a public good for producers....
Persistent link: https://www.econbiz.de/10011070575
Persistent link: https://www.econbiz.de/10011035046
"Warm glow" has been proposed as an explanation for public good contributions that exceed traditional theoretical predictions, yet little is known about why and when people exhibit warm glow in some voluntary settings. To investigate these issues, this research develops a model for the ``helping...
Persistent link: https://www.econbiz.de/10010627410
In 1996, Johannesson <italic>et al</italic>. published a paper entitled ‘The Value of Private Safety versus the Value of Public Safety’. Based on the preliminary evidence from a hypothetical contingent valuation study for public and private safety, these authors argue that consumers behave as ‘pure...
Persistent link: https://www.econbiz.de/10010971354
Matching grants are a prevalent mechanism for funding environmental, conservation, and natural resource projects. However, economists have largely been silent regarding the potential benefits of these mechanisms at increasing voluntary contributions. To examine the behavioral responses to...
Persistent link: https://www.econbiz.de/10008599563