Is there a dividend of Democracy: Experimental Evidence from Cooperation Games
Publikation: Working paper › Forskning
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Is there a dividend of Democracy : Experimental Evidence from Cooperation Games. / Markussen, Thomas; Tyran, Jean-Robert Karl.
2024.Publikation: Working paper › Forskning
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RIS
TY - UNPB
T1 - Is there a dividend of Democracy
T2 - Experimental Evidence from Cooperation Games
AU - Markussen, Thomas
AU - Tyran, Jean-Robert Karl
PY - 2024
Y1 - 2024
N2 - Do democratically chosen rules lead to more cooperation and, hence, higher efficiency, than imposed rules? To discuss when such a “dividend of democracy” obtains, we review experimental studies in which material incentives remain stacked against cooperation (ie, free-riding incentives prevail) despite adoption of cooperation-improving policies. While many studies find positive dividends of democracy across a broad range of cooperation settings, we also report on studies that find no dividend. We conclude that the existence of a dividend of democracy cannot be considered a stylized fact. We discuss three channels through which democracy can produce such a dividend: selection, signaling, and motivation. The evidence points to the role of “culture” in conditioning the operation of these channels. Accepting a policy in a vote seems to increase the legitimacy of a cooperation-inducing policy in some cultures but not in others.
AB - Do democratically chosen rules lead to more cooperation and, hence, higher efficiency, than imposed rules? To discuss when such a “dividend of democracy” obtains, we review experimental studies in which material incentives remain stacked against cooperation (ie, free-riding incentives prevail) despite adoption of cooperation-improving policies. While many studies find positive dividends of democracy across a broad range of cooperation settings, we also report on studies that find no dividend. We conclude that the existence of a dividend of democracy cannot be considered a stylized fact. We discuss three channels through which democracy can produce such a dividend: selection, signaling, and motivation. The evidence points to the role of “culture” in conditioning the operation of these channels. Accepting a policy in a vote seems to increase the legitimacy of a cooperation-inducing policy in some cultures but not in others.
M3 - Working paper
BT - Is there a dividend of Democracy
ER -
ID: 382444226