We study three learning rules (reinforcement learning (RL), experience weighted attraction learning (EWA), and individual evolutionary learning (IEL)) and how they perform in three different Groves-Ledyard mechanisms. We are interested in how well these learning rules duplicate human behavior in...

We wish to study optimal dynamic nonlinear income taxes. Do real-world taxes share some of their features? What policy prescriptions can be made? We study a two-period model, where the consumers and government each have separate budget constraints in the two periods, so income cannot be...

For economies with one-sided externalities between firms, four types of results are presented and discussed: (i) the impossibility of decentralized finite-dimensional mechanisms guaranteeing Pareto optimality; (ii) the possibilities for Pigou taxes in situations where Arrovian markets cannot...