The debate concerning the extent of monopoly welfare loss long dominated by the analysis of Harberger has been revieved with the contributions of Tullock and Posner on the one hand, and Cowling, Cowling and Mueller and Kay on the other. The thesis proposed by Tullock and Posner is that "profit"...

An informal club has members who contribute to the production of a public good to achieve status. Contributions are either in the form of money or work. A signaling equilibrium is found where full separation occurs and efficient choices are made whether to contribute in terms of work or money....