Minimum Participation Rules for the Provision of Public Goods

  title={Minimum Participation Rules for the Provision of Public Goods},
  author={Anke Gerber and Jakob Neitzel and Philipp C. Wichardt},
This paper considers the endogenous formation of an institution to provide a public good. If the institution governs only its members, players have an incentive to free ride on the institution formation of others and the social dilemma is simply shifted to a higher level. Addressing this second-order social dilemma, we study the effectiveness of three different minimum participation requirements: 1. full participation / unanimity rule; 2. partial participation; 3. unanimity first and in case of… CONTINUE READING

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