Are we nice(r) to nice(r) people?—An experimental analysis

We experimentally investigate whether individuals can reliably detect cooperators (the nice(r) people) in an anonymous decision environment involving “connected games.” Participants can condition their choices in an asymmetric prisoners’ dilemma and a trust game on past individual (their partner’s donation share to a self-selected charity) and social (whether their partner belongs to a group with high or low average donations) information. Thus, the two measures of niceness are the individual donation share in the donation task, and the cooperativeness of one’s choice in the two games. We find that high donors achieve a higher-than-average expected payoff by cooperating predominantly with other high donors. Group affiliation proved to be irrelevant. Electronic Supplementary Material Supplementary material is available in the online version of this article at . JEL Classification C91, C72, D3     

Encouraging behavioural change towards sustainable tourism: a German approach to free public transport for tourists

Constantly growing transport demand by tourists within holiday destinations and related increases in CO₂ emissions have helped foster a new trend amongst German destinations towards promoting a green transportation mode for vacationers. A key innovation is the “Gästeticket” or Guest Ticket concept, which offers tourists free public transport, on buses and trains, within defined destination areas throughout their stay. This paper describes the background to this concept, and the many different ways in which it has been created, designed, implemented and administered. A qualitative research methodology interviewed key public and private sector stakeholders, including local and regional politicians, accommodation providers, public transport providers and public transport authorities to identify favourable starting conditions, successful financial and institutional implementation strategies, and both supporters and opponents of guest tickets. Local politicians and many small accommodation providers opposed the concept, while regional and national politicians supported it, as did public transport providers and public transport authorities. The concept is compared to the more holistic Alpine Pearls concept founded in Austria, and the case made for better explanation of the Guest Ticket concept to its opponents, better marketing, further research and closer cooperation between transport providers and planners with tourism attractions and accommodation providers.     

On the Incentive Effects of Sample Size in Monitoring Agents – A Theoretical and Experimental Analysis

When agents compete for a bonus and their productivity in each of several possible occasions depends stochastically on (constant) effort, the number of times this is checked to assign the bonus affects the level of uncertainty in the selection process. Uncertainty, in turn, is expected to increase the effort made by competing agents (Cowen and Glazer, 1996; Dubey and Haimanko, 2003; Dubey and Wu, 2001). Theoretical predictions are derived and experimental evidence is collected for two competing agents, with the bonus awarded to that agent who outperforms the other. Sampling occasions (1 or 3), cost of production (high or low), cost symmetry (asymmetric or symmetric), and piece‐rate reward are manipulated factorially to test the robustness of the effects of uncertainty. For control, a single‐agent case is included. Results indicate that, for tournaments, greater uncertainty does indeed lead to greater than expected effort and lower average variable costs.     

Regional- und Gesammteffekte der steirischen Endverwendung

Summary This paper starts off by describing the methodology of the compilation of the 1964 IO-table for Styria, which is conceptually fully consistent with the 1964 table for Austria. Basic definitions are given and some information is provided on the more important stages of the compilation of the table, such as estimation of a table in purchaser prices, conversion to producer prices, estimation of complete import matrices for interregional and international imports. The underlying philosophy in all these stages was to work on a very low level of aggregation (products, groups of products) in order to make use of all available detailed information and to overcome the problems arising from the lack of some basic information (e.g. shipments between regions).In the second part of the paper we present some empirical results derived from an analysis of the Styrian IO-table, Version C (only regional deliveries in the first two quadrants). This analysis shows a remarkably high regional multiplier effect of Styrian exports (to other parts of Austria, and abroad) and of private consumption on the economy of the region. High multiplier effects of final demand deliveries are exhibited by such sectors as saw mills, hotels and restaurants, housing and food production (all above 1,6). Finally the bias from using a single regional table instead of a multi-regional table in estimating the regional and total effects of final demand on the economy of a region is discussed.     

Conditional utility

Summary The motivation for this paper starts out with a decision situation under risk where the decision-maker has to choose among various lottery tickets. We will ask what happens to a person's lottery choice if he is given additional information in terms of probabilities on some states of nature which might affect his choice among lottery tickets. In other words, in evaluating his decision situation, a person should not only consider the probability of a certain prospect to be realized but also the problem how and to which extent some state(s) of nature modify the utility of this prospect. This problem has not been dealt with in Bernoullian utility theory.We state several conditions which are necessary and sufficient to treat conditional utility as Bernoullian utility. Then we show as a main result that it is possible to represent expected utility of decision acts (in Savage's terminology) by conditional expected utility of prospects which preserves well-known properties of expected utility with the exception of linearity.We give a potential application of the notion of conditional utility to the estimation of the value of information as a residual value of prior and posterior utility.     

Editorial

Original Papers

Editorial     

Knowledge Disclosure and Transmission in Buyer–Supplier Relationships

A buyer’s technical knowledge may increase the efficiency of its supplier. Suppliers, however, frequently maintain relationships with additional buyers. Knowledge disclosure then bears the risk of benefiting one’s own rival due to opportunistic knowledge transmission through the common supplier. We show that in one-shot relationships no knowledge disclosure takes place because the supplier has an incentive to transmit and, anticipating that, buyers refuse to disclose any of their knowledge. In repeated relationships knowledge disclosure is stabilized by larger technological proximity between buyers and suppliers and destabilized by the absolute value of the knowledge.