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Public Bad Prevention by Majority Voting on Redistribution – Experimental Evidence

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  • Matthais Sutter

    (University of Innsbruck)

Abstract

We present an experimental study on voting behavior in groups of seven persons where public bad prevention depends on redistributing income by qualified majority voting. Although a payoff-maximizing voting pattern exists which guarantees a qualified majority – thus maximizing both individual and group payoffs – the qualified majority is failed in 27% (relatively costly public bad), respectively 46% (relatively cheap public bad) of all decisions. Controlling for different degrees of social distance when casting votes (i.e. anonymous versus with identification) we find that social distance matters when stakes are relatively low, inducing less efficient outcomes for the group when voting behavior is revealed. The endogenously determined status of subjects with respect to redistribution (“unlucky subjects” lose, “lucky subjects” win) systematically influences subjects' voting strategies and the collective outcomes, such that a higher number of unlucky subjects leads to less efficient outcomes for the group.

Suggested Citation

  • Matthais Sutter, 2002. "Public Bad Prevention by Majority Voting on Redistribution – Experimental Evidence," Group Decision and Negotiation, Springer, vol. 11(5), pages 415-428, September.
    • Handle: RePEc:spr:grdene:v:11:y:2002:i:5:d:10.1023_a:1020473620752
    DOI: 10.1023/A:1020473620752
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    References listed on IDEAS

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    Cited by:

    1. Du, Jinming, 2019. "Redistribution promotes cooperation in spatial public goods games under aspiration dynamics," Applied Mathematics and Computation, Elsevier, vol. 363(C), pages 1-1.
    2. Antonio Cabrales & Rosemarie Nagel & José Rodríguez Mora, 2012. "It is Hobbes, not Rousseau: an experiment on voting and redistribution," Experimental Economics, Springer;Economic Science Association, vol. 15(2), pages 278-308, June.

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