Search

We provide an experimental investigation of empirical phenomena of free tours – city tours after which tourists remunerate the guide with voluntary Pay-What-You-Want payments. Using a sample of 471...

We study a relationship between perceived price fairness and digital piracy. In a large-scale field experiment on customers of a leading ebook store, we employ the Bayesian truth serum to elicit the information on acquiring books from unauthorized sources (often referred to as digital piracy). We provide empirical evidence in support of the conjecture that willingness to “pirate” is associated with having experienced subjective overpricing. We propose and verify the relevance of two mechanisms behind this link: reactance theory and moral cleansing/licensing. The results indicate that pricing policy perceived as fair may reduce the scope for digital piracy.

In a field experiment conducted in cooperation with city theatres in Warsaw, we allowed some of the visitors to pay whatever they wanted for the tickets. Half of these visitors were asked randomly ...

We empirically investigate the interaction between internal and external reference prices on stated payments in a Pay-What-You-Want (PWYW) scheme. Using results of a vignette experiment with e-books, we show that when an external reference price provided is lower than respondents’ internal reference prices, the average of PWYW payments significantly decreases compared with a situation in which the external reference price is not provided.The relationship is the opposite when the external reference price provided to respondents is higher than their internal reference prices. In such a case, upward pressure is created, thus the average of PWYW payments increases. These results remain true when we control for expected quality of e-books. Additionally, we find that when the external reference price is not provided, the size of PWYW payments depends positively on individual factors such as risk-taking propensity and perceived costs of e-book production.

Ethical norms are believed to be followed more loosely on the Internet than in the ‘real world’. This proposition is often evoked to explain the prevalence of so-called digital piracy. In this study, we provide evidence from a vignette experiment that contradicts this claim. Analysing the case of sports broadcast, we compare explicitly the ethical judgement of legal and illegal sharing in the offline and online contexts. We find that the norms concerning legality, availability of alternatives and deriving material benefits from sharing content do not differ substantially between the virtual and real worlds. We also test explicitly for the role of legal awareness and find that emphasising what is prohibited copyright infringement is less effective than focusing on what is permitted fair use in reducing the disparity between legal and ethical norms.

A fair share of studies analyzing “online piracy” are based on easily accessible student samples. However, it has been argued that the youths tend to have more lax social and ethical norms concerning both property rights and online behavior. In this study we present the results of a vignette experiment, i.e. a scenario survey where responders are asked to provide an ethical judgment on different forms of unauthorized acquisition of a full season of a popular TV series described in a number of hypothetical stories. The survey is conducted both on a student sample and on a sample of individuals who openly endorse protection of intellectual property rights for cultural goods. In this way we can investigate the possibly limited external validity of studies relying solely on the student samples. The vignette experiment concerned ethical evaluation of unauthorized acquisition of cultural content in both virtual and real context and was focused on six dimensions previously identified as relevant to the ethical judgment. Surprisingly, we found that the rules for the ethical judgment do not differ between our samples, suggesting that the social norms on “online piracy” follow similar patterns in student and in other populations. Findings from studies relying on ethical or moral judgments of students may thus be valid in a much broader population.

This study analyzes the impact of economic growth and international trade on the level of air pollution. This is done by the estimation of the Structural Equation Model with two factors describing the structure of economic activity and air pollution intensity. It is further assumed that there is causal link between these two factors and that they are influenced by per capita income, international trade intensity and the Freedom House Index. The estimation results suggest that in the developing countries analyzed both international trade and per capita income lead to changes in the structure of economic activity and – as a consequence – to the increase in air pollution. In addition, the estimation results suggest that the impact of economic growth on air pollution intensity varies between the developing and developed countries. In the developing countries, this impact occurs through the change of the structure of economic activity, while in the developed countries, this impact is mainly direct and occurs through the sum of the scale effect and income effect . The positive sign of this impact suggests the dominance of the scale effect over the income effect .

Ethical norms on the Internet are believed to be more permissive than in the ‘real’ world and this belief often serves as an explanation for the prevalence of the so-called digital “piracy”. In this study we provide evidence from a vignette experiment that contradicts this claim. Analyzing the case of sports broadcast, we compare explicitly the ethical judgment of legal and illegal sharing in the offline and online context. We find that the norms concerning legality, availability of alternatives and deriving material benefits from sharing content do not differ substantially between the virtual and real worlds. We also test explicitly for the role of legal awareness and find that emphasizing what is prohibited (copyright infringement) is less effective than focusing on what is permitted (fair use) in reducing the disparity between legal and ethical norms.

Literature on charitable giving often finds that seed money matters: the example of a wealthy donor is followed by others (List and Lucking-Riley, 2002). Nearly all relevant theoretical accounts (e.g. that leaders possess superior information on quality of the project) seem to apply to the closely related environment of Pay-What-You-Want mechanisms as well. Yet, as far as we can tell, no empirical study has tested for that until now. To fill this gap, we analyze data from 16 campaigns of BookRage (an equivalent of Humble Bundle, offering bundles of e-books). We make use of the fact that a fixed number of currently highest contributions are always displayed (along with mean contribution and total amount raised). Thus a discontinuity may be expected: contributions that are displayed might directly affect subsequent donors' behavior, in contrast to just slightly lower donations that are only observable as a (small) change in mean contribution. We find that the example of leaders makes no impact on willingness to purchase and amount paid. By contrast, the mean of past contributions has a positive impact on current contribution, yet a negative impact on the probability of contributing.

We focus on the relationship between pricing of cultural goods and willingness to download their unauthorized versions. Building on equity theory we propose that perceiving a price as overly high provides a self-justification for downloading content from unauthorized sources. In a large-scale online experiment on customers of a major e-book store we employ the Bayesian Truth Serum to induce truthful confessions of acquiring content from unauthorized sources. We confirm that self-reported downloading from unauthorized sources is associated with having experienced overpricing. We also relate it to endorsing relatively positive views on the role of file-sharing services and believing that "pirate's" motives are relatively principled, while those of abstainers are rather pragmatic.

According to the environmental Kuznets curve hypothesis, environmental degradation increases in the early stages of growth, but it eventually decreases as income exceeds a threshold level. It is thus often argued that if international trade increases incomes then it can also have a positive impact on environmental quality. So far, these hypotheses have been widely empirically tested for the developed countries. However, it is still uncertain whether positive effects of international trade on growth and on the environment may also hold in developing countries. One of the major difficulties in testing these relations in developing countries is the poor quality of environment related data. In this analysis this problem is reduced by constructing a structural equation model (SEM) with three latent variables defined as environment quality, health care and structural changes. It is further assumed that these latent variables are correlated with each other and are described by their available outcomes, access to an improved water source, health-adjusted life expectancy, fertilizer use intensity, industrial carbon dioxide emissions etc., and indicators, structure of international trade by region and by commodity group, amount of international aid received by the country, foreign direct investment, income per capita etc. Using LISREL software, these structural relationships are combined into one comprehensive model. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.

In this study, we try to assess the prevalence of illicit downloading in the market of audio books and the willingness to admit to such practices. We compare the Bayesian Truth Serum (Prelec, 2004) treatment in which truthful responses and precise estimates are rewarded to the control treatment with a flat participation fee. We find a sizable treatment effect – incentivized ‘pirates’ admit approximately 60% more often than the nonincentivized ones.

According to the "Environmental Kuznets Curve" (EKC) hypothesis, the level of pollutant emission grows along with the initial stage of economic development and, then, diminishes with further economic development. Usually, the EKC hypothesis is explained by three effects: the scale effect, the structure (or composition) effect and the income effect. In this paper, a verification of the EKC was undertaken basing on the example of the carbon dioxide emission by the industry in the OECD countries, this time the attention being concentrated on two less popular effects: the .shock. effect and the effect related to the "pollution heaven hypothesis" ("dirty production migration" effect). As an example of shock the petroleum crisis of the seventies was chosen. The verification results showed a substantial impact of the petroleum crisis on the change in carbon dioxide emission by the industry and, at the same time, unimportance of the "pollution heaven" effect.