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We empirically analyze the effect of political support for the government on voluntary tax compliance. To this end, we use 33 survey results of the contingent valuation (CV) method developed and widely used for the valuation of non-market goods in the field of environmental economics. The degree...
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This paper shows that reciprocity has powerful implications for many economic domains. It is an important determinant in the enforcement of contracts and social norms and enhances the possibilities of collective action greatly. Reciprocity may render the provision of explicit incentives...
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We examine the division of resources among individuals by flexible majority rules where the majority necessary to adopt a proposal depends on the proposal itself. For instance, the size of the majority may increase with the maximal difference between the shares individuals receive. For large...
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willingness to accept retribution payments in exchange for giving up this good (WTA). Thaler (1980) employs prospect theory to … explain this disparity. The literature contains two different interpretations of his endowment effect theory. Accordingly, the … of endowment effect theory is limited to private goods. The current paper reports on an experiment which finds a …
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