• A
  • A
  • A
  • АБB
  • АБB
  • АБB
  • А
  • А
  • А
  • А
  • А
Обычная версия сайта

Препринт

Decision to Make a HOA: Does Collective Action Paradox Matter?

Ability to make collective agreements determines life of many organizations. But does it matter for the decision to make a new organization? On the data of 82 homeowners associations (HOAs) in Moscow and Perm factors that underpin HOA formation are studied. A logit-regression analysis is used. Ability of tenants to resolve the collective action problem in operating housing infrastructure shows its importance along with the physical characteristics of an apartment building. Thus HOA formation by homeowners is a signal of their ability to manage a house. Collective action paradox begins to play role not only ex post, but also ex ante, prior to organization’s establishment.