Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/126587
Authors: 
Deer, Lachlan
Bayer, Ralph-C.
Year of Publication: 
2015
Series/Report no.: 
Working Paper Series, University of Zurich, Department of Economics 201
Abstract: 
We use experimental methods to investigate whether pledges of commitment can improve cooperation in endogenously formed partnerships facing a social dilemma. Treatments vary in terms of the individual's (a) opportunity to commit to their partner, (b) the cost of dissolving committed partnerships, and (c) the distribution of these dissolution costs between partners. Our findings show that pledges of commitment increase cooperation in committed partnerships when costs to dissolve them are shared equally among partners. In contrast, when costs to dissolve committed partnerships fall solely on the individual choosing to break up, pledges of commitment fail to improve cooperation and instead decrease cooperation.
Subjects: 
Commitment
Cooperation
Endogenous Group Formation
Experiment
JEL: 
C92
D03
D83
H41
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

Files in This Item:
File
Size
390.52 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.