Delegation and coordination with multiple threshold public goods: experimental evidence

A-Tier
Journal: Experimental Economics
Year: 2020
Volume: 23
Issue: 4
Pages: 1030-1068

Authors (3)

Luca Corazzini (not in RePEc) Christopher Cotton (not in RePEc) Tommaso Reggiani (Cardiff University)

Score contribution per author:

1.341 = (α=2.01 / 3 authors) × 2.0x A-tier

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

Abstract

Abstract When multiple charities, social programs and community projects simultaneously vie for funding, donors risk mis-coordinating their contributions leading to an inefficient distribution of funding across projects. Community chests and other intermediary organizations facilitate coordination among donors and reduce such risks. To study this, we extend a threshold public goods framework to allow donors to contribute through an intermediary rather than directly to the public goods. Through a series of experiments, we show that the presence of an intermediary increases public good success and subjects’ earnings only when the intermediary is formally committed to direct donations to socially beneficial goods. Without such a restriction, the presence of an intermediary has a negative impact, complicating the donation environment, decreasing contributions and public good success.

Technical Details

RePEc Handle
repec:kap:expeco:v:23:y:2020:i:4:d:10.1007_s10683-019-09639-6
Journal Field
Experimental
Author Count
3
Added to Database
2026-01-25