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- Title
Does a membership fee foster successful public good provision? An experimental investigation of the provision of a step-level collective good.
- Authors
Bchir, Mohamed; Willinger, Marc
- Abstract
We report the results of an experiment investigating the provision of a step-level collective good. This experiment compares the behavior of subjects in a public good game with the behavior of subjects in a club good game. In the club good game, players who do not contribute the membership fee are excluded from the consumption of the collective good. The introduction of a small membership fee has surprisingly strong effects: it increases the provision of the collective good, delays provision failures and increases the number of contributors. The experiment also reveals the limits of the introduction of a small fee. At a high threshold level, the membership fee no longer ensures successful provision.
- Subjects
MATHEMATICAL models of consumption; PUBLIC goods; USER charges; MEMBERSHIP; NONEXCLUDABILITY (Economics); MUNICIPAL services; CONSUMPTION (Economics); MATHEMATICAL models; ECONOMICS
- Publication
Public Choice, 2013, Vol 157, Issue 1/2, p25
- ISSN
0048-5829
- Publication type
Article
- DOI
10.1007/s11127-012-9929-9