Battaglini, Marco; Nunnari, Salvatore; Palfrey, Thomas R. - Collegio Carlo Alberto, Università degli Studi di Torino - 2010
We present a theoretical model of the provision of a durable public good over an infinite horizon. In each period, there is a societal endowment of which each of n districts owns a share. This endowment can either be invested in the public good or consumed. We characterize the planner's optimal...