This paper explores the factors behind the time path of real spending and revenue in the West German states from 1975 to 2004. The empirical approach stresses robustness and takes into account a large set of economic and political variables. Our results suggest that common economic factors and,...

Conditions α and β are two well-known rationality conditions in the theory of rational choice. This paper examines the implication of weaker versions of these two rationality conditions in the context of solutions to non-convex bargaining problems. It is shown that, together with the standard...

In production economies with unequal labor skills, one of the intrinsic features for Nash implementation problems is the lack of information about individual skills, which makes the planner ignorant to the set of feasible allocations in advance of production. Given this intrinsic feature, the...