Governing Collective Action in the Face of Observational Error
Research output: Working paper › Research
We present results from a repeated public goods experiment where subjects choose by vote one of two sanctioning schemes: peer-to-peer (informal) or centralized (formal). We introduce, in some treatments, a moderate amount of noise (a 10 percent probability that a contribution is reported incorrectly) affecting either one or both sanctioning environments. We find that the institution with more accurate information is always by far the most popular, but noisy information undermines the popularity of peer-to-peer sanctions more strongly than that of centralized sanctions. This may contribute to explaining the greater reliance on centralized sanctioning institutions in complex environments.
Original language | English |
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Number of pages | 64 |
Publication status | Published - 2017 |
Series | University of Copenhagen. Institute of Economics. Discussion Papers (Online) |
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Number | 17-14 |
ISSN | 1601-2461 |
- Faculty of Social Sciences - Public goods, sanctions, information, institution, voting
Research areas
ID: 182540477