Paternalistic Interventions: Determinants of Demand and Supply *

Abstract

This study investigates the determinants of individuals’ demand for and supply of paternalistic interventions - measures intended to help others avoid mistakes. Based on data from an incentivized experiment conducted with a large U.S. sample, we find that both demand and supply are higher for informational interventions than for those that restrict choice, and when targeted individuals perceive themselves or are perceived as more error-prone. Moreover, granting targets the right to withhold consent increases demand. These behavioral patterns, supported by participants’ free-text responses, suggest that both receiving and supplying interventions entail utility costs, particularly when interventions infringe upon personal autonomy. Our findings inform policy design by highlighting the importance of autonomy-preserving features such as choice options and consent rights in securing public support for paternalistic interventions.

Keywords: Paternalism, interventions, consent rights, policy design, C91, D60, D91