<abstract xmlns="http://www.w3.org/1999/xhtml"><p>In order to gain a better understanding of human behaviour, Economics seeks to work with other disciplines such as Psychology, Sociology, or Anthropology (Behavioural Economics). Unlike neoclassical economic theory, behavioural economics does not assume a rational individual. On the contrary, it focuses on an irrational (bounded rational) individual while revealing what really influences his decision and his actions in order to respond more adequately to public needs, increasing the efficiency of public-service provision. The aim of the paper is to investigate the factors of willingness to pay for public services. The willingness of individuals to pay depends on factors such as affection and sympathy, conviction, compassion, regret, respect, warm glow, commitment to society, appreciation, invitation to participation, fundraising method and tax policy. The significance of the research conclusions lies in initiating a new perspective on the possibilities of securing public services.</p></abstract>

In order to gain a better understanding of human behaviour, Economics seeks to work with other disciplines such as Psychology, Sociology, or Anthropology (Behavioural Economics). Unlike neoclassical economic theory, behavioural economics does not assume a rational individual. On the contrary, it focuses on an irrational (bounded rational) individual while revealing what really influences his decision and his actions in order to respond more adequately to public needs, increasing the efficiency of public-service provision. The aim of the paper is to investigate the factors of willingness to pay for public services. The willingness of individuals to pay depends on factors such as affection and sympathy, conviction, compassion, regret, respect, warm glow, commitment to society, appreciation, invitation to participation, fundraising method and tax policy. The significance of the research conclusions lies in initiating a new perspective on the possibilities of securing public services.

Bounded Rationality of Individual Action in the Consumption of Public Goods

NISPAcee Journal of Public Administration and Policy

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

{"article-title":"Bounded Rationality of Individual Action in the Consumption of Public Goods"}

In order to gain a better understanding of human behaviour, Economics seeks to work with other disciplines such as Psychology, Sociology, or Anthropology...

Bounded Rationality of Individual Action in the Consumption of Public Goods

Published Online: Dec 11, 2019

Page range: 157 - 194

DOI: https://doi.org/10.2478/nispa-2019-0018

Keywords
Factors, MINDSPACE concept, public goods, public services, willingness to pay

© 2019 Beáta Mikušová Meričková et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Bounded Rationality of Individual Action in the Consumption of Public Goods

Published Online: Dec 11, 2019

Page range: 157 - 194

DOI: https://doi.org/10.2478/nispa-2019-0018

KeywordsFactors, MINDSPACE concept, public goods, public services, willingness to pay

© 2019 Beáta Mikušová Meričková et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Keywords
Factors, MINDSPACE concept, public goods, public services, willingness to pay