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This paper reports the results from a laboratory experiment designed to study political distortions in the accumulation … debt associated with larger majority requirements. Also in line with the theory, we find that debt is lower when the …
Persistent link: https://www.econbiz.de/10012986701
Some public goods are provided entirely with private contributions, others with a mixture of public and private funding, and still others are entirely publicly funded. To explain this variation, a model of dual provision is developed that endogenizes public and private funding. Members of the...
Persistent link: https://www.econbiz.de/10012920474
Two heterogeneous agents contribute over time to a joint project, and collectively decide its scope. A larger scope requires greater cumulative effort and delivers higher benefits upon completion. We show that the efficient agent prefers a smaller scope, and preferences are time-inconsistent: as...
Persistent link: https://www.econbiz.de/10012980151
We provide a potential explanation for the absence of, and unwillingness to create, centralized power in the hands of a national state based on the political agenda effect. State centralization induces citizens of different backgrounds, interests, regions or ethnicities to coordinate their...
Persistent link: https://www.econbiz.de/10012991695
This paper examines how preference heterogeneity affects the ability of the poor to extract resources from the rich. We study the equilibrium of a game in which coalitions of individuals form parties, parties propose platforms, and all individuals vote, with the winning policy chosen by...
Persistent link: https://www.econbiz.de/10013247424
efficient policies regardless of the distribution of bargaining power among them. This paper uses a laboratory experiment to …
Persistent link: https://www.econbiz.de/10013057824
begin by reporting results from an experiment in which we investigate how cooperation in allocation games is affected by the …
Persistent link: https://www.econbiz.de/10012957994
coalitions to provide public goods. Theory is ambiguous on the equilibrium coalition size and contribution rates. We examine the …
Persistent link: https://www.econbiz.de/10013153581
due to the public good nature of pollution abatement. The theory of international environmental agreements (IEAs) in … century. The problem is that theory suggests fairly low (even zero) levels of contribution to a public good and high levels of …
Persistent link: https://www.econbiz.de/10013052684
Much literature on political behavior treats politicians as motivated by reelection, choosing actions to signal their types to voters. We identify two novel implications of models in which signalling incentives are important. First, because incumbents only care about clearing a reelection...
Persistent link: https://www.econbiz.de/10013110929