4.5 Article

Income and wealth heterogeneity in the voluntary provision of linear public goods

Journal

JOURNAL OF PUBLIC ECONOMICS
Volume 90, Issue 4-5, Pages 935-955

Publisher

ELSEVIER SCIENCE SA
DOI: 10.1016/j.jpubeco.2005.06.002

Keywords

linear public good; VCM; income heterogeneity

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This paper examines the effect of income and wealth heterogeneity in the voluntary provision of a linear public good. We use models of inequality aversion and altruism to predict behavior in our setting. Our results are not consistent with these models, however; our experimental results suggest that less wealthy subjects give the same absolute amount (and more as a percentage of their income) as the more wealthy. (c) 2005 Elsevier B.V. All rights reserved.

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