. 1998. A simple mechanism for the efficient provision of public goods: experimental evidence. we use the Louis vuitton uk of downloads requested in a given day as a control variable in our regression models. R. M. the peer-to-peer network provides special title called ??Value Users?? to frequent contributors. 2001a. its server software allows contributors to punish free riders and reward fellow contributors using server priority setting. G. All errors remain ours. Boyd. and other online communities Ba et al. participation and performance of open source software developers: a longitudinal study of the apache projects. In particular. Information Louis Vuitton Outlet Research 15 Louis vuitton 155-174. M. Kahneman. Fehr. The result is consistent with the approach taken in prior experimental studies but contradictory to Kandori 1992 ??s suggestion that enforcement of social norm is itself a public good. Indirect reciprocity in cyclical networ ks: an experimental study. What makes a virtual organization work? MIT Sloan Management Review 42 1 13?C26. Internalized extrin sic factors refer to extrinsic mo tivations that are self-regulated instead of directly imposed by external environments. Instead. the technology allows her to punish all free ri ders by setting up her server to provide downloads only to other contributors or give download priorities to other contributors. she stays in the network longer and is more likely to re alize that the value of file sharing from others and behave reciprocally. Johnson. 2006. Organization Science 7 2 119?C135. and J. 2004. sequential prisoner??s dilemma games. there are also a substantial number of contributors that consistently provide resources to such networks. contributions o f digital contents could significantly slow down the contributor??s network connection and delay or disrupt software applications that share the same network connection. propose the following hypothesis: H1b: Negative Indirect Reciprocity - a user??s probability of contribution decreases with number of free riders in a peer-to-peer network. 2004 . S. Hosanagar. 2005. To develop an empirical hypothesis from the self-interest theory. In such cases. Third. Johnson and Faraj 2005. 2002. Paulo Goes. New York. American Economic Review 90 4 980-994. Bapna. Raghu T. Telang. L. propose the following hypothesis: H1b: Negative Indirect Reciprocity - a user??s probability of contribution decreases with number of free riders in a peer-to-peer network. Our analysis indicates that indirect reciprocity could be a key motivating factor for contribut ion to peer-to-peer networks and has a significant influence on the social dynamics inside these networks. trust games.g. L. While reputation mechanisms provide an important tool in such environments. Management Science 32 11 1492?C1512. Incentive mechanisms are important for the enforcement of social norms.?? The important insight from Kandori 1992 is that the enforcement of social norms is itself a public good and.. The result reveals the social enforcement mechanism in a large social network. to explicate the dynamic relationship between individuals and their social environment and to identify mechanisms that enforce social norms in online social networks. Our results indicate that users in peer-to-peer networks demo nstrate a rich set Louis Vuitton UK dynamic behaviors consistent with indire ct reciprocity theory. Ma. Such punishment mechanisms serve as a st rong deterrence to anti-soc ial behaviors. Thomas-Hunt. e. 1968. Neale. We also find evidence that reciprocity is not the same towards all contributors. the technology allows her to punish all free ri ders by setting up her server to provide downloads only to other contributors or give download priorities to other contributors. Figure 1: Comparison of contribution level in repeated public good game without punishment mechanism against contribution level with punishment mechanis m obtained from Fehr and Gachter 2000b. Krishnan. virtual investment communities Gu et al. 2006 . Prior studies note that stability in so cial networks is of ten achieved through so cial norms Kandori 1992 . A. overlooks the social nature of louis vuitton outlet networks where individual behavior is both influenced by social environment as well as a part of the social environment that affects others. governance and the viability of hybrid forms in open source software development. J. religion belief. Individuals vary significantly in their motivation and preposition in contributing to peer-to-peer networks. T. The labeling transforms one-shot games into repeated games where cooperation can be sustained. In the context of music sharing networks. 8 Private Contribution to Public Goods Contribution to peer-to-peer networks resembles a typical cas e of private contribution to public goods. Information Systems Research 18 1 68-85. reciprocity depends on contributors?? needs. 59 1 63-80. A..A. Figure 1 dup licates Figure 1b from Fehr and Gachter 2000b that provides a comparison of individual contribution levels with and without peer punishment mechanisms. W. Extrinsic factors refer to incentives provided by external enviro nments. S. Service ince ntives include giving priority to frequent contributors in download queues or allowing simultaneous downloads of multiple files.. G. Frohlich. Kartik Hosanagar. Y. Asvanund et al. An individual has a higher propensity to contribu te if she faces longer wait time and needs to download a large number of files from the p eer-to-peer network. Management Science 33 5 589?C609. S. NY. and J. S. J. Table louis vuitton outlet reports individual co ntributors?? enforcement of social norms to encourage indirect reciprocity in the peer-to-peer network.. Nature 432 7016 499-502. Fairness and the assumptions of economics. Xia et al. Kankanhalli et al. social-psychological forces. 2006. P. and A. In this regard. thus limiting direct reciprocity. Jian. Journal of Business 59 4 S285?CS300. have been designed in repeated one-to-one settings and show that individuals are reciproc al to each other. 2005. Parameswaran. does not require obtaining benef its directly from the recipients. communication activity. We discuss the theo retical foundation of private contribution to public goods in the next section. and S. the summary statistics reveal that 48% of all contributors use some form of reward and punishment mechanisms by providing better services to other contributors. B. we find that the enforcement of social norm is human nature. First. W hy share in peer-to-peer networks? Proceedings of the ACM EC 2006 workshop on the Economics of Networked Systems . they do not respond to contribution from pure contributors H2 . on average. Fehr.. These motivations include reputation Wasko and Faraj 2005 . S. Kuk. indicating that some of the Value Users do not contribute daily. and A. Garfikel. use a different mechanism in their lab experiments.. the enforcement of social norms is inherent in human behavior and does not require extrinsic incentive to enforce. The results differ from Kandori 1992 ??s suggestion that enforcement of social norm is a public good by itself and therefore requires an incentive mechanism to mo tivate enforcers. We conduct the analysis using a panel data by observing 103. Espinosa. M. 1995. Testing theories of fairne ss ?C Intentions matter.