Collective action and social norms

Free-riding derails collective action

A classic study considered why large groups of people with common interests often struggle to coordinate to achieve those interests. It pointed to the problem of free-riding. Since individuals receive the benefits of a public good whether or not they contribute to it, it is no individual’s interest to contribute. Ironically, it is often materially rational for no individual to contribute to a public good that benefits all individuals. To encourage contributions, individuals must be coerced or must receive some personal benefit for contributing to the public good. This research helps us understand the barriers to collective action and gives insights into how to promote collective action.

Societies develop norms and institutions that encourage collective action

If it is in no individual’s interest to contribute to public goods, how do so many groups coordinate? Another seminal study demonstrated that a group's norms and institutions can encourage contributing to public goods when they follow certain design principles. These principles are things like involving all affected individuals when deciding rules for using the public good, reasonable sanctions for people who violate those rules, and low-cost conflict-resolution mechanisms to mediate conflicts. The study also looks at threats to sustained collective action, such as attempts by governments to impose a single set of rules on all groups rather than having rules tailored to their particular context. This research shows us how groups can encourage collective action.

Do you have a study we should share for a future Facty Friday? Send an email to drg.el@usaid.gov!