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In this methodological paper, we prove that the key tax competition game introduced by Zodrow and Mieszkowski (1986) and Wildasin (1988), extended to asymmetric regions, possesses a Nash equilibrium under several assumptions commonly adopted in the literature : goods are supposed to be normal ;...
Persistent link: https://www.econbiz.de/10008795976
This paper analyses the tax competition mechanisms in a context of commodity trade. We show that the trade market equilibrium may restore the efficiency of the public good provision when agents from different countries have symmetric preferences. Asymmetry in preferences implies over or...
Persistent link: https://www.econbiz.de/10011194449
In this paper, we examine the class of congestion games with player-specific payoff functions introduced by Milchtaich, I. (1996). Focusing on the special case of two resources, we give a short and simple method for identifying all Nash equilibria in pure strategies. We also provide a...
Persistent link: https://www.econbiz.de/10014636242