[go: up one dir, main page]

IDEAS home Printed from https://ideas.repec.org/p/pot/cepadp/73.html
   My bibliography  Save this paper

Pre-election communication in public good games with endogenous leaders

Author

Listed:
  • Lisa Bruttel

    (University of Potsdam, CEPA)

  • Gerald Eisenkopf

    (University of Vechta)

  • Juri Nithammer

    (University of Potsdam)

Abstract
Leadership plays an important role for the efficient and fair solution of social dilemmas but the effectiveness of a leader can vary substantially. Two main factors of leadership impact are the ability to induce high contributions by all group members and the (expected) fair use of power. Participants in our experiment decide about contributions to a public good. After all contributions are made, the leader can choose how much of the joint earnings to assign to herself; the remainder is distributed equally among the followers. Using machine learning techniques, we study whether the content of initial open statements by the group members predicts their behavior as a leader and whether groups are able to identify such clues and endogenously appoint a “good” leader to solve the dilemma. We find that leaders who promise fairness are more likely to behave fairly, and that followers appoint as leaders those who write more explicitly about fairness and efficiency. However, in their contribution decision, followers focus on the leader’s first-move contribution and place less importance on the content of the leader’s statements.

Suggested Citation

  • Lisa Bruttel & Gerald Eisenkopf & Juri Nithammer, 2024. "Pre-election communication in public good games with endogenous leaders," CEPA Discussion Papers 73, Center for Economic Policy Analysis.
  • Handle: RePEc:pot:cepadp:73
    DOI: 10.25932/publishup-62395
    as

    Download full text from publisher

    File URL: https://doi.org/10.25932/publishup-62395
    Download Restriction: no

    File URL: https://libkey.io/10.25932/publishup-62395?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Drouvelis, Michalis & Nosenzo, Daniele & Sefton, Martin, 2017. "Team incentives and leadership," Journal of Economic Psychology, Elsevier, vol. 62(C), pages 173-185.
    2. Jordi Brandts & David J. Cooper & Roberto A. Weber, 2015. "Legitimacy, Communication, and Leadership in the Turnaround Game," Management Science, INFORMS, vol. 61(11), pages 2627-2645, November.
    3. Alexander W. Cappelen & Bjørn-Atle Reme & Erik Ø. Sørensen & Bertil Tungodden, 2016. "Leadership and Incentives," Management Science, INFORMS, vol. 62(7), pages 1944-1953, July.
    4. Ben-Ner, Avner & Putterman, Louis & Ren, Ting, 2011. "Lavish returns on cheap talk: Two-way communication in trust games," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 40(1), pages 1-13, February.
    5. Jennifer Zelmer, 2003. "Linear Public Goods Experiments: A Meta-Analysis," Experimental Economics, Springer;Economic Science Association, vol. 6(3), pages 299-310, November.
    6. Ben Greiner, 2015. "Subject pool recruitment procedures: organizing experiments with ORSEE," Journal of the Economic Science Association, Springer;Economic Science Association, vol. 1(1), pages 114-125, July.
    7. Urs Fischbacher & Simon Gachter, 2010. "Social Preferences, Beliefs, and the Dynamics of Free Riding in Public Goods Experiments," American Economic Review, American Economic Association, vol. 100(1), pages 541-556, March.
    8. Karakostas, Alexandros & Kocher, Martin G. & Matzat, Dominik & Rau, Holger A. & Riewe, Gerhard, 2023. "The team allocator game: Allocation power in public goods games," Games and Economic Behavior, Elsevier, vol. 140(C), pages 73-87.
    9. Roman M. Sheremeta & Jingjing Zhang, 2014. "Three-Player Trust Game With Insider Communication," Economic Inquiry, Western Economic Association International, vol. 52(2), pages 576-591, April.
    10. Koukoumelis, Anastasios & Levati, M. Vittoria & Weisser, Johannes, 2012. "Leading by words: A voluntary contribution experiment with one-way communication," Journal of Economic Behavior & Organization, Elsevier, vol. 81(2), pages 379-390.
    11. Ganna Pogrebna & David Krantz & Christian Schade & Claudia Keser, 2011. "Words versus actions as a means to influence cooperation in social dilemma situations," Theory and Decision, Springer, vol. 71(4), pages 473-502, October.
    12. Raphaële Préget & Phu Nguyen-Van & Marc Willinger, 2016. "Who are the voluntary leaders? Experimental evidence from a sequential contribution game," Theory and Decision, Springer, vol. 81(4), pages 581-599, November.
    13. Alberto Abadie & Susan Athey & Guido W Imbens & Jeffrey M Wooldridge, 2023. "When Should You Adjust Standard Errors for Clustering?," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 138(1), pages 1-35.
    14. Fischbacher, Urs & Gachter, Simon & Fehr, Ernst, 2001. "Are people conditionally cooperative? Evidence from a public goods experiment," Economics Letters, Elsevier, vol. 71(3), pages 397-404, June.
    15. Dufwenberg, Martin & Kirchsteiger, Georg, 2004. "A theory of sequential reciprocity," Games and Economic Behavior, Elsevier, vol. 47(2), pages 268-298, May.
    16. Andres, Maximilian & Bruttel, Lisa & Friedrichsen, Jana, 2023. "How communication makes the difference between a cartel and tacit collusion: A machine learning approach," European Economic Review, Elsevier, vol. 152(C).
    17. Francesco Caselli & Tom Cunningham, 2009. "Leader behaviour and the natural resource curse," Oxford Economic Papers, Oxford University Press, vol. 61(4), pages 628-650, October.
    18. van der Heijden, Eline & Potters, Jan & Sefton, Martin, 2009. "Hierarchy and opportunism in teams," Journal of Economic Behavior & Organization, Elsevier, vol. 69(1), pages 39-50, January.
    19. Serra-Garcia, Marta & van Damme, Eric & Potters, Jan, 2011. "Hiding an inconvenient truth: Lies and vagueness," Games and Economic Behavior, Elsevier, vol. 73(1), pages 244-261, September.
    20. Rosenbaum, Stephen Mark & Billinger, Stephan & Stieglitz, Nils, 2014. "Let’s be honest: A review of experimental evidence of honesty and truth-telling," Journal of Economic Psychology, Elsevier, vol. 45(C), pages 181-196.
    21. Feltovich, Nick & Grossman, Philip J., 2015. "How does the effect of pre-play suggestions vary with group size? Experimental evidence from a threshold public-good game," European Economic Review, Elsevier, vol. 79(C), pages 263-280.
    22. Emrah Arbak & Marie-Claire Villeval, 2013. "Voluntary leadership: motivation and influence," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 40(3), pages 635-662, March.
    23. Haigner, Stefan D. & Wakolbinger, Florian, 2010. "To lead or not to lead: Endogenous sequencing in public goods games," Economics Letters, Elsevier, vol. 108(1), pages 93-95, July.
    24. Astrid Dannenberg, 2015. "Leading by example versus leading by words in voluntary contribution experiments," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 44(1), pages 71-85, January.
    25. Lenka Fiala & Sigrid Suetens, 2017. "Transparency and cooperation in repeated dilemma games: a meta study," Experimental Economics, Springer;Economic Science Association, vol. 20(4), pages 755-771, December.
    26. Centorrino, Samuele & Concina, Laura, 2013. "A Competitive Approach to Leadership in Public Good Games," LERNA Working Papers 13.02.389, LERNA, University of Toulouse.
    27. Bruttel, Lisa & Fischbacher, Urs, 2013. "Taking the initiative. What characterizes leaders?," European Economic Review, Elsevier, vol. 64(C), pages 147-168.
    28. Nielsen, Kirby & Bhattacharya, Puja & Kagel, John H. & Sengupta, Arjun, 2019. "Teams promise but do not deliver," Games and Economic Behavior, Elsevier, vol. 117(C), pages 420-432.
    29. Bellemare, Charles & Sebald, Alexander & Suetens, Sigrid, 2019. "Guilt aversion in economics and psychology," Journal of Economic Psychology, Elsevier, vol. 73(C), pages 52-59.
    30. Gerald Eisenkopf & Torben Kölpin, 2021. "Leading-by-Example: A meta-analysis," TWI Research Paper Series 125, Thurgauer Wirtschaftsinstitut, Universität Konstanz.
    31. Rivas, M. Fernanda & Sutter, Matthias, 2011. "The benefits of voluntary leadership in experimental public goods games," Economics Letters, Elsevier, vol. 112(2), pages 176-178, August.
    32. Centorrino, Samuele & Concina, Laura, 2013. "A Competitive Approach to Leadership in Public Good Games," TSE Working Papers 13-383, Toulouse School of Economics (TSE).
    33. Brock V. Stoddard & Caleb A. Cox & James M. Walker, 2021. "Incentivizing provision of collective goods: Allocation rules," Southern Economic Journal, John Wiley & Sons, vol. 87(4), pages 1345-1365, April.
    34. Christoph Vanberg, 2008. "Why Do People Keep Their Promises? An Experimental Test of Two Explanations -super-1," Econometrica, Econometric Society, vol. 76(6), pages 1467-1480, November.
    35. Urs Fischbacher, 2007. "z-Tree: Zurich toolbox for ready-made economic experiments," Experimental Economics, Springer;Economic Science Association, vol. 10(2), pages 171-178, June.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Karakostas, Alexandros & Kocher, Martin G. & Matzat, Dominik & Rau, Holger A. & Riewe, Gerhard, 2023. "The team allocator game: Allocation power in public goods games," Games and Economic Behavior, Elsevier, vol. 140(C), pages 73-87.
    2. Billinger, Stephan & Rosenbaum, Stephen Mark, 2023. "On the limits of hierarchy in public goods games: A survey and meta-analysis on the effects of design variables on cooperation," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 107(C).
    3. Jing Yu & Martin G. Kocher, 2023. "Leading by example in a public goods experiment with benefit heterogeneity," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 61(3), pages 685-712, October.
    4. Gächter, Simon & Renner, Elke, 2018. "Leaders as role models and ‘belief managers’ in social dilemmas," Journal of Economic Behavior & Organization, Elsevier, vol. 154(C), pages 321-334.
    5. Gürerk, Özgür & Lauer, Thomas & Scheuermann, Martin, 2018. "Leadership with individual rewards and punishments," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 74(C), pages 57-69.
    6. Drouvelis, Michalis & Nosenzo, Daniele & Sefton, Martin, 2017. "Team incentives and leadership," Journal of Economic Psychology, Elsevier, vol. 62(C), pages 173-185.
    7. Eichenseer, Michael & Moser, Johannes, 2018. "Leadership in a Dynamic Public Goods Game: An Experimental Study," VfS Annual Conference 2018 (Freiburg, Breisgau): Digital Economy 181599, Verein für Socialpolitik / German Economic Association.
    8. Raphaële Préget & Phu Nguyen-Van & Marc Willinger, 2016. "Who are the voluntary leaders? Experimental evidence from a sequential contribution game," Theory and Decision, Springer, vol. 81(4), pages 581-599, November.
    9. Luke Boosey & R. Mark Isaac & Abhijit Ramalingam, 2021. "Limiting the Leader: Fairness Concerns in Team Production with Leader-Determined Monitoring," Working Papers 21-11, Department of Economics, Appalachian State University.
    10. Boosey, Luke & Isaac, R. Mark & Ramalingam, Abhijit, 2024. "Limiting the leader: Fairness concerns and opportunism in team production," Journal of Economic Behavior & Organization, Elsevier, vol. 218(C), pages 209-244.
    11. Sohn, Jin-yeong & Jang, Dooseok, 2024. "On the effectiveness of leading by example in public goods games," Journal of Economic Behavior & Organization, Elsevier, vol. 224(C), pages 266-281.
    12. Feltovich, Nick & Grossman, Philip J., 2015. "How does the effect of pre-play suggestions vary with group size? Experimental evidence from a threshold public-good game," European Economic Review, Elsevier, vol. 79(C), pages 263-280.
    13. Lopera Baena, Maria Adelaida, 2016. "Evidence of Conditional and Unconditional Cooperation in a Public Goods Game: Experimental Evidence from Mali," VfS Annual Conference 2016 (Augsburg): Demographic Change 145797, Verein für Socialpolitik / German Economic Association.
    14. Cox, Caleb A. & Stoddard, Brock, 2024. "Inequality and the allocation of collective goods," Journal of Economic Behavior & Organization, Elsevier, vol. 220(C), pages 756-767.
    15. Drouvelis, Michalis & Nosenzo, Daniele, 2013. "Group identity and leading-by-example," Journal of Economic Psychology, Elsevier, vol. 39(C), pages 414-425.
    16. Heim, Réka & Huber, Jürgen, 2019. "Leading-by-example and third-party punishment: Experimental evidence," Journal of Behavioral and Experimental Finance, Elsevier, vol. 24(C).
    17. Kölle, Felix & Quercia, Simone, 2021. "The influence of empirical and normative expectations on cooperation," Journal of Economic Behavior & Organization, Elsevier, vol. 190(C), pages 691-703.
    18. Goeschl, Timo & Soldà, Alice, 2024. "(Un)Trustworthy pledges and cooperation in social dilemmas," Journal of Economic Behavior & Organization, Elsevier, vol. 223(C), pages 106-119.
    19. Cason, Timothy N. & Gangadharan, Lata & Grossman, Philip J., 2022. "Gender, beliefs, and coordination with externalities," Journal of Public Economics, Elsevier, vol. 214(C).
    20. Jordi Brandts & Christina Rott & Carles Solà, 2016. "Not just like starting over - Leadership and revivification of cooperation in groups," Experimental Economics, Springer;Economic Science Association, vol. 19(4), pages 792-818, December.

    More about this item

    Keywords

    Leadership; Public good; Voting; Promises; Experiment;
    All these keywords.

    JEL classification:

    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pot:cepadp:73. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Marco Winkler (email available below). General contact details of provider: https://edirc.repec.org/data/cepotde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.