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A great deal of production and consumption behavior takes place in the context of social organizations that seem to fall outside of the traditional paradigm of profit/utility maximization. These organizations are voluntary in nature and rely on contributions from members to achieve their...
Persistent link: https://www.econbiz.de/10013158854
Bergstrom, Blume and Varian (1986) provides an elegant gametheoretic model of an economy with one private good and one public good. Strategies of players consist of voluntary contributions of the private good to public good production. Without relying on first order conditions, the authors...
Persistent link: https://www.econbiz.de/10011168562
In a classic model of tax competition, we show that the level of public good provision and taxation in a decentralized equilibrium can be efficient or inefficient with either too much, or too little public good provision. The key is whether there exists a unilateral incentive to deviate from the...
Persistent link: https://www.econbiz.de/10005585305
In the literature of psychology and economics it is frequently observed that individuals tend to conform in their behavior to the behavior of similar individuals. A fundamental question is whether the outcome of such behavior can be consistent with self-interest. We propose that this consistency...
Persistent link: https://www.econbiz.de/10005752722
Bergstrom, Blume and Varian (1986) provides an elegant gametheoretic model of an economy with one private good and one public good. Strategies of players consist of voluntary contributions of the private good to public good production. Without relying on first order conditions, the authors...
Persistent link: https://www.econbiz.de/10010550744
We develop a strategic model of network interdiction in a non-cooperative game of flow. A security agency operates a network with arc capacities. An adversary, endowed with a bounded quantity of bads, chooses a flow that specifies a plan for carrying bads through the network from a base to a...
Persistent link: https://www.econbiz.de/10008692908