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We show that regional heterogeneity of underlying fundamentals (e.g. economic history, geography, social capital) can lead to extreme voting in federations. When the outcome of federal policies – such as transfer schemes, market regulation or migration laws – depends on these fundamentals,...
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We compare two contest. Decentralized in which there are several independent contests with non overlapping contestants and Centralized in which all contestants fight for a unique prize which is the sum of all prizes in the small contests. We study the relationship between payoffs and efforts...
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-proof mechanisms, but they are socially worse than non cooperative decentralization. Federal mechanisms which are neutral and robust to …
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In this chapter, we assess recent contributions of computational models to the study of politics. We focus primarily on agent-based models developed by economists and political scientists. These models address collective action problems, questions related to institutional design and performance,...
Persistent link: https://www.econbiz.de/10014024376
NOTE: The following is a description of the paper and not the actual abstract. Equilibrium tax and expenditure policies are studied in a federation consisting of a federal government and several state governments. Each state begins with an initial distribution of residents of different ability...
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