Does Decentralization of Decisions Increase the Stability of Large Groups?
- Bjedov, Tjaša Faculty of Economics and Management, Distance Learning University of Switzerland
- Lapointe, Simon VATT Institute for Economic Research, Helsinki, Finland
- Madiès, Thierry University of Fribourg
- Villeval, Marie Claire University of Lyon, CNRS, GATE Lyon St Etienne
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2018
Published in:
- Social Choice and Welfare. - Springer. - 2018, vol. 51, p. 681-716
English
Using a laboratory experiment with nested local and global public goods, we analyze the stability of global groups when individuals have the option to separate, according to the degree of decentralization of decision-making. We show that increasing the number of decisions made at the local level within a smaller group reduces the likelihood that individuals vote in favor of a configuration that includes no global good for interacting only within their local group. Voting for such a configuration is more likely when global group members are less cooperative and local group members are more cooperative. Reinforcing local group identity has no impact on votes.
- Faculty
- Faculté des sciences économiques et sociales et du management
- Department
- Département d'économie politique
- Language
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- English
- Classification
- Economics
- License
- License undefined
- Identifiers
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- RERO DOC 333230
- DOI 10.1007/s00355-018-1133-5
- Persistent URL
- https://folia.unifr.ch/unifr/documents/309492
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