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This paper derives and justifies a procedurally fair bidding mechanism and reviews experiments that apply the mechanism to public projects provision. In the experiments, not all parties benefit from provision, and the projects ́costs can be negative. The experimental results indicate that the...
Persistent link: https://www.econbiz.de/10010223369
This paper experimentally examines a procedurally fair provision mechanism allowing members of a small community to determine, via their bids, which of four alternative public projects to implement. Previous experiments with positive cost projects have demonstrated that the mechanism is...
Persistent link: https://www.econbiz.de/10009784119
This paper derives and justifies a procedurally fair bidding mechanism and reviews experiments that apply the mechanism to public projects provision. In the experiments, not all parties benefit from provision, and the projects ́costs can be negative. The experimental results indicate that the...
Persistent link: https://www.econbiz.de/10009792166
Based on an axiomatically derived provision rule allowing community members to endogenously determine which, if any, public project should be provided, we perform experiments where (i) not all parties benefit from provision, and (ii) the projects' "costs" can be negative. In the tradition of...
Persistent link: https://www.econbiz.de/10009567095
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Bidding rules that guarantee procedural fairness may induce more equilibrium bidding and moderate other-regarding concerns. In our experiment, we assume commonly known true values and only two bidders to implement a best-case scenario for other-regarding concerns. The two-by-two factorial design...
Persistent link: https://www.econbiz.de/10008689003
Extensive research on human cooperation in social dilemmas has shown that individuals condition their behaviour upon the behaviour of others. However, few attempts have been made to disentangle the motivations backing conditional cooperation. We try to assess the relative importance of three...
Persistent link: https://www.econbiz.de/10009313091
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