The lobbying process is modelled as an auction with externalities in which lobbies bid to get implemented their most-preferred policy. Furthermore, the government may influence the lobbying process itself by biasing the auction among organized interests. We identify the following trade-off:...

This Paper deals with collective decision making within a group of independent jurisdictions. The right to choose the public policy is delegated from the central authority of one of the jurisdictions through a bidding procedure among the group members. We identify the following trade-off:...