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Persistent link: https://www.econbiz.de/10009408659
Many charities report donations using categories. We question whether such category reporting increases donations in a signalling game where a donor is either generous or not generous. Conditions are derived under which category reporting will increase giving or decrease giving. Category...
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An individual’s contribution to a public good may be seen by others as a signal of attributes such as generosity or wealth. An individual may, therefore, choose their contribution so as to send an appropriate signal to others. In this paper we question how the inferences made by others will...
Persistent link: https://www.econbiz.de/10003746676
In this paper we analyse the effect that nai͏̈ve agents (those who take behavior at 'face value') have on the nature of social norms. After reviewing the use of signalling models to model conformity, we argue in favour of modelling nai͏̈ve inferences in tandem with standard Bayes rational...
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Reciprocity can be a powerful motivation for human behaviour. Scholars argue that it is relevant in the context of private provision of public goods. We examine whether reciprocity can resolve the associated coordination problem. The interaction of reciprocity with cost-sharing is critical....
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Institutions for co-financing agreements often exist to encourage public good investment. Can such frameworks deliver maximal investment when agents are motivated by reciprocity? We demonstrate that indeed they can, but not in the way one might expect. If maximal investment is impossible in the...
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