How to win a decision in a confederation

• 成果类型: Article; Proceedings Paper
• 署名作者: Jehiel, P; Thisse, JF
• 署名单位: Universite Catholique Louvain; Universite Catholique Louvain
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/j.jpubeco.2003.04.001
• 发表日期: 2005
• 页码: 1191-1210
• 关键词: states; confederation; auction; spillovers; public good

摘要

This paper deals with collective decision making within a group of independent states. The right to choose the public policy is delegated from the central authority to one of the states through a bidding procedure among the group state members. We identify the following tradeoff. competition among states yields higher transfers to the central authority, but the outcome tends to be less efficient than what it is when states negotiate prior to the decision making process. We extend and illustrate the model by means of a public good game involving several heterogeneous states. (c) 2004 Elsevier B.V. All rights reserved.