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We examine a monopolistic supplier's decision about a pure public good when he/she must negotiate with beneficiaries of the good. In our model, while the level of the public good is decided unilaterally by the supplier, the cost share of the public good is negotiated between the supplier and...
Persistent link: https://www.econbiz.de/10011338329
A profit-maximizing public good supplier endogenously determines the level of the public good and simultaneously negotiates with beneficiaries of the good one by one. A pre-negotiation commitment on the production level of the public good by the supplier enhances the internalization of...
Persistent link: https://www.econbiz.de/10012903962
Persistent link: https://www.econbiz.de/10012108019
In this paper, I characterize neutral mechanisms for the provision of a public good. I show that neutral mechanisms form a reasonable set of predictions for mechanism selection in public goods problems; such predictions are sufficiently sharp, robust to a perturbation of the information...
Persistent link: https://www.econbiz.de/10012847322
Experimental studies show that the Nash equilibrium and its refinements are poor predictors of behavior in non-cooperative strategic games. Cooperation models, such as ERC and inequality aversion, yield superior predictions compared to the standard game theory predictions. However, those models...
Persistent link: https://www.econbiz.de/10013252726
In the two-person sequential best shot game, first player 1 contributes to a public good and then player 2 is informed about this choice before contributing. The payoff from the public good is the same for both players and depends only on the maximal contribution. Efficient voluntary cooperation...
Persistent link: https://www.econbiz.de/10010252393
This paper analyzes congestion effects on network situations from a cooperative game theoretic perspective. In network situations players have to connect themselves to a source. Since we consider publicly available networks any group of players is allowed to use the entire network to establish...
Persistent link: https://www.econbiz.de/10012729175
We suggest that the propensity for altruistic punishment and reward is an emergent property that has co-evolved with cooperation and has provided efficient feedback measured in social dilemma and public good experiments. A simple cost/benefit analysis at the level of single agents, who...
Persistent link: https://www.econbiz.de/10012731195
Group tasks are often organized by a list: group members state their willingness to contribute by entering their names on a publicly visible, empty list. Alternatively, one could organize the group task by starting with a full list: every group member is already entered on the list and...
Persistent link: https://www.econbiz.de/10011779277
In this note we consider a society that partitions itself into disjoint jurisdictions, each choosing a location of its public project and a taxation scheme to finance it. The set of public project is multi-dimensional, and their costs could vary from jurisdiction to jurisdiction. We impose two...
Persistent link: https://www.econbiz.de/10014066238