-economy borrowing-proofness (Thomson, 2009). We ask whether the Lindahl rule satisfies the property. The answer is yes on both the … manipulation by borrowing from a fellow trader, closed-economy borrowing-proofness. We obtain a parallel set of answers. The …

UNIVERSITY OF ROCHESTER Borrowing-proofness Thomson, William Working Paper No. 545 January 2009 Borrowing-proofness … the domain of economies with homothetic pref- erences. Key-works: borrowing-proofness. Endowment lower bound. No … requirement on a rule that it not be subject to this kind of manipulation. We call it \borrowing-proofness". The relevance of this …