 INSTITUTIONS INFLUENCE PREFERENCES: EVIDENCE FROM A COMMON POOL RESOURCE EXPERIMENTCarlos Rodríguez-Sickert,
Ricardo AndrÔøΩs GuzmÔøΩn and
Juan Camilo CÔøΩrdenas
No 2890, Documentos CEDE from Universidad de los Andes, Facultad de Economía, CEDE Abstract: We model the dynamic effects of external enforcement on the exploitation of a common pool resource. Fitting our model to the results of experimental data we find that institutions influence social preferences. We solve two puzzles in the data: the increase and later erosion of cooperation when commoners vote against the imposition of a fine, and the high deterrence power of low fines. When fines are rejected, internalization of a social norm explains the increased cooperation; violations (accidental or not), coupled with reciprocal preferences, account for the erosion. Low fines stabilize cooperation by preventing a spiral of negative reciprocation. Keywords: Field experiments; common pool resources; cooperation; enforcement; regulation; social preferences (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:col:000089:002890 Access Statistics for this paper More papers in Documentos CEDE from Universidad de los Andes, Facultad de Economía, CEDE Contact information at EDIRC. |
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