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Author: | Messer, K. D. (et al.) |
Title: | New hope for the voluntary contributions mechanism: The effects of context |
Journal: | Journal of Public Economics
2007 : SEP, VOL. 91:9, p. 1783-1799 |
Index terms: | charities public goods social values voting |
Language: | eng |
Abstract: | This article explores how three common contextual factors may influence contributions in the linear voluntary contributions mechanism (VCM). The study is made using business students subjects and low marginal per capita rate of return. The results demonstrate that contributions in the last ten rounds go from 18% to 94% depending on the use of cheap talk, voting and a status quo of giving. The findings show that context can cause the VCM to produce sustained efficiencies alike incentive-compatible public good mechanisms. |
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