This paper focuses on indivisible multiple-cost–single-benefit projects that must be approved by the government. A simple mechanism is proposed that ensures an efficient and fair implementation of such projects. The proposed mechanism is appropriate for a unilateral information structure: the...

This paper presents a simple twofold mechanism that attains a complete implementation of the efficient allocation of pollution. The first component is adopted from Duggan and Roberts [Duggan, J., Roberts, J., 2002. Implementing the efficient allocation of pollution. American Economic Review 92,...

This paper focuses on indivisible multiple-cost–single-benefit projects that must be approved by the government. A simple mechanism is proposed that ensures an efficient and fair implementation of such projects. The proposed mechanism is appropriate for a unilateral information structure: the...

This paper focuses on indivisible "multiple-cost-single-benefit " projects that must be approved by the government. A simple mechanism is proposed that ensures an efficient and fair implementation of such projects. The proposed mechanism is appropriate for a unilateral information structure: the...

In this paper we study the endogenous determination of bureaucratic friction in a bureaucratic contest with (<InlineEquation ID="Equ1"> <EquationSource Format="TEX"><![CDATA[$n \ge 2$]]></EquationSource> </InlineEquation>) and without (n=1) rent contestability. When n= 1 bureaucratic impediments induce the individual to undertake rent-securing activities at the same level as in the two-player...</equationsource></inlineequation>

Membership in the authors' labor-managed firm is determined in the long run by expected income maximization. In the short run, upon the realization of output price, each member may leave the labor-managed firm. However, a decision to leave when the entire membership quits is associated with...

The quest for benefit from existing wealth or by seeking privileged benefit through influence over policy is known as rent seeking. Much rent seeking activity involves government and political decisions and is therefore in the domain of political economy, although it can also take place in...