On the efficient provision of public goods by means of biased lotteries: The two player case

In this paper we analyze how biased lotteries can be used to overcome the free-riding problem in voluntary public good provision. We characterize the optimal combinations of bias and lottery prize and the conditions that guarantee efficient public good provision in equilibrium.

MoreLess

Year of publication:	2014
Authors:	Franke, Jörg ; Leininger, Wolfgang
Published in:	Economics Letters. - Elsevier, ISSN 0165-1765. - Vol. 125.2014, 3, p. 436-439
Publisher:	Elsevier
Subject:	Public good provision \| Biased lotteries \| Charities

More details

Type of publication:	Article
Classification:	C72 - Noncooperative Games ; D72 - Economic Models of Political Processes: Rent-Seeking, Elections, Legistures, and Voting Behavior ; H41 - Public Goods
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10011116204