|Konrad, Kai A.; Leininger, Wolfgang (2011): Self-enforcing norms and efficient non-cooperative collective action in the provision of public goods. In: Public Choice, Vol. 146, No. 3: pp. 501-520|
We show how norms can solve the distributional conflict inside a group in an anarchic environment and yield efficient coordination of collective action in a conflict with an external competitor. The equilibrium of the fully non-cooperative game with finite horizon has two interesting features. First, one of the players assumes a central role that resembles the role of the 'big-man' in some primitive stateless societies. Second, the group members' contributions to collective output and the payments from the big-man to these members seemingly look like reciprocal behavior, even though they are driven by narrowly selfish preferences. © 2010 The Author(s).
Economics > Chairs > MPI for Tax Law and Public Finance
|Subjects:||300 Social sciences > 330 Economics|
|JEL Classification:||D72, D74, H11, H41|
|Deposited On:||08. Dec 2014 14:17|
|Last Modified:||08. Dec 2014 14:17|