Why pay for nothing? An experiment on a conditional subsidy scheme in a threshold public good game.

2014 - Economics Bulletin

The voluntary provision of public goods can be enhanced by subsidies paid to contributors. However, in the case of threshold public goods, subsidies can be wasted if the public good is not ultimately produced. We therefore test the performance of a conditional subsidy paid to each contributor only …

Tags: Experimental Economics , collective subsidy , Threshold Public Good