Cabreales, Antonio; Calvo-Armengol, Antoni; Jackson, … - In: Journal of Political Economy 111 (2003) 2, pp. 425-458
We analyze a mutual fire insurance mechanism used in Andorra, which is called La Crema in the local language. This mechanism relies on households' announced property values to determine how much a household is reimbursed in the case of a fire and how payments are apportioned among other...