Social network structure and government provision crowding-out on voluntary contributions

B-Tier
Journal: Journal of Behavioral and Experimental Economics
Year: 2016
Volume: 63
Issue: C
Pages: 83-90

Score contribution per author:

2.018 = (α=2.02 / 1 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We propose a general equilibrium model of voluntary contributions in which people have an individual-specific level for social approval. This heterogeneous setting has evolved from the different degree of social interaction of individuals in the exogenously given network. By extending the techniques developed by Ghiglino and Goyal (2010), we show that, given a network, individuals who face higher standards of social norms contribute more to the public good and are simultaneously less sensitive to government provision crowding-out in relative value. When comparing different networks, we show that government provision is more effective in networks with higher average connectivity because of a lesser crowding-out effect.

Technical Details

RePEc Handle
repec:eee:soceco:v:63:y:2016:i:c:p:83-90
Journal Field
Experimental
Author Count
1
Added to Database
2026-01-25