Group Size Effects in Public Goods Provision: The Voluntary Contributions Mechanism
@article{Isaac1988GroupSE, title={Group Size Effects in Public Goods Provision: The Voluntary Contributions Mechanism}, author={R. Mark Isaac and James M. Walker}, journal={Quarterly Journal of Economics}, year={1988}, volume={103}, pages={179-199} }
This paper examines the relationship between variations in group size and "free-riding" behavior in the voluntary provision of public goods. We examine experimentally two pertinent concepts: the marginal return to an individual from contributions to the public good, and the actual number of members in the group. Our results strongly support a hypothesis that increasing group size leads to a reduction in allocative efficiency when accompanied by a decrease in marginal return from the public good…
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