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Competition vs. Cooperation. An Experimental Inquiry

Marie-Edith Bissey (), Claudia Canegallo, Guido Ortona () and Francesco Scacciati ()

POLIS Working Papers from Institute of Public Policy and Public Choice - POLIS

Abstract: It is argued that the propensity to cooperate may be negatively affected by competition. Experimental evidence support this hypothesis. In a set of three experiments in which different degrees of competition characterize the markets, participants reduce their contributions to a public project as the degree of competition increases, from the benchmark case (no competition on the private market) up to the perfect competition case.

Pages: 26 pages
Date: 2003-12
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