This paper studies a model of public policy with heterogenous citizens/voters and two public goods: One (roads) is chosen directly by an elected policymaker, and the other (pollution) depends stochastically on the amount of roads. Both a one-country and a two-country version of the model are...

Lobbying is potentially welfare improving if it is a form of information transmission. This paper studies when and for whom this is the case. In the model, a government (G) can redistribute income between two interest groups (A and B). Only one of them (A) has the opportunity to lobby. Lobbying...