PulseExploreJournal ClubDebatesTrendingResearchersJournals
Instagram
HomeExploreJournal ClubTrending
Synapse
⌘+K
Synapse
April 25, 2026Journal of Economic Psychology1 citationsOpen Access

Motivate the crowd or crowd them out? Experimental evidence on the impact of local government spending on the voluntary provision of a green public good

View Full Paper
LBLara BartelsMKMartin Kesternich

Key Points

  • This research aims to determine whether local government spending on environmental initiatives affects individual contributions to similar projects.
  • Conducted a framed field experiment
  • Analyzed the effects of information on previous city contributions
  • Assessed individual private contributions to a green public good
  • No statistically significant evidence that city contributions reduce resident contributions
  • Referencing fellow citizens increases overall contributions
  • Attracts contributions especially from individuals less engaged in environmental actions

Abstract

Cities are increasingly being held accountable for their climate action. By demonstrating their pro-environmentality through their own climate-related activities, they aspire to encourage individual climate protection efforts. However, economic theory posits that this strategy may not be as promising as it appears. Since cities fund these initiatives using taxpayers’ money, their contributions may be perceived as substitutes, potentially crowding out private contributions to the same public good. Inspired by research on the crowding-in effects of social norms, leadership, and the expressive influence of laws, we challenge this argument. We conducted a framed field experiment to analyze whether providing information on the previous contributions made by the city itself has an impact on individual private contributions to the same public good. Results show no statistically significant evidence that city contributions reduce resident contributions. Instead, referencing fellow citizens increases contributors, attracting especially those less pro-environmentally oriented.

Ask AI
Helpful
Bookmark
Share
View Full Paper

Cite This Study

Bartels et al. (2026) studied this question.

synapsesocial.com/papers/69ec598788ba6daa22dab51chttps://doi.org/10.1016/j.joep.2026.102902
Ask AI
Helpful
Bookmark
Share
View Full Paper