Glazer, Amihai; Kanniainen, Vesa; Poutvaara, Panu - In: European Journal of Political Economy 26 (2010) 3, pp. 340-350
This paper develops a theory of consumer boycotts. To affect a firm's ethical behavior, moral consumers refuse to buy from an unethical firm. Consumers who do not care about ethical behavior may join the boycott to (falsely) signal that they do care, increasing the disciplinary power of consumer...