Article ID Journal Published Year Pages File Type
883752 Journal of Economic Behavior & Organization 2012 12 Pages PDF
Abstract

We use experimental methods to study the power of leading by words. The context is a voluntary contribution mechanism with one-way communication. One group member can send a free-form text message to his fellow players. Contrary to the commonly accepted wisdom that the cooperation-enhancing effect of communication requires the mutual exchange of promises, we find that the introduction of one-way communication increases contributions substantially and decreases their variation. When communication is one-shot, its effect on contribution levels persists over time. Moreover, one-way communication is effective even in the absence of strategic concerns.

► One-way communication significantly increases contributions to the public good. ► The frequency of communication bears no influence on contribution behavior. ► One-way communication stimulates contributions even when subjects cannot play strategically. ► In social dilemma, the mutual exchange of promises is not necessary for the communication effect to take place.

Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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