|Ania, Ana B. and Wagener, Andreas (23. November 2009): The Open Method of Coordination (OMC) as an Evolutionary Learning Process. Discussion Papers in Economics 2009-18|
This is the latest version of this item.
We interpret the Open Method of Coordination (OMC), recently adopted by the EU as a mode of governance in the area of social policy and other fields, as an imitative learning dynamics of the type considered in evolutionary game theory. The best-practise feature and the iterative design of the OMC correspond to the behavioral rule "imitate the best." In a redistribution game with utilitarian governments and mobile welfare beneficiaries, we compare the outcomes of imitative behavior (long-run evolutionary equilibrium), decentralized best-response behavior (Nash equilibrium), and coordinated policies. The main result is that the OMC allows policy coordination on a strict subset of the set of Nash equilibria, favoring in particular coordination on intermediate values of the policy instrument.
|Item Type:||Paper (Discussion Paper)|
|Keywords:||Open Method of Coordination, Finite-population Evolutionarily Stable Strategy, Imitation, Mobility, Redistribution.|
Economics > Discussion Papers in Economics
Economics > Discussion Papers in Economics > Public Finance
Economics > Discussion Papers in Economics > Game Theory
|Subjects:||300 Social sciences > 300 Social sciences, sociology and anthropology|
300 Social sciences > 330 Economics
|JEL Classification:||H77, H75, C73, I38|
|Deposited On:||23. Nov 2009 12:59|
|Last Modified:||28. Nov 2013 14:48|
Available Versions of this Item
The Open Method of Coordination (OMC) as an Evolutionary Learning Process. (deposited 19. Mar 2009 09:15)
- The Open Method of Coordination (OMC) as an Evolutionary Learning Process. (deposited 23. Nov 2009 12:59) [Currently Displayed]