The extent of voluntary cooperation in the presence of externalities is shown as an equilibrium outcome in the supply … character of the costs resulting from externalities. The paper discusses applications including forest management, volume …

commit to contracts, virus externalities are local, and competitive equilibria are efficient. The Second Welfare Theorem also … their infection status. If society cannot control virus exposure, then virus externalities are global and competitive … externalities and result in inefficiently high economic activity. If agents cannot commit, competitive equilibria are inefficient …

Private expenditures on crime reduction have potentially important externalities. Observable measures such as barbed …-wire fences and deadbolt locks may shift crime to those who are unprotected, imposing a negative externality. Unobservable … precautions, on the other hand, may provide positive externalities since criminals cannot determine a priori who is protected …

, we show the distributional effects of mass tourism depend on this heterogeneity: following rent increases due to growing …