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Efficient and stable collective choices under gregarious preferences

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Author Info
Massó, Jordi
Nicolò, Antonio

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Abstract

We consider collective choice problems where a set of agents have to choose an alternative from a finite set and agents may or may not become users of the chosen alternative. An allocation is a pair given by the chosen alternative and the set of its users. Agents have gregarious preferences over allocations: given an allocation, they prefer that the set of users becomes larger. We require that the final allocation be efficient and stable (no agent can be forced to be a user and no agent who wants to be a user can be excluded). We propose a two-stage sequential mechanism whose unique subgame perfect equilibrium outcome is an efficient and stable allocation which also satisfies a maximal participation property.

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Publisher Info
Article provided by Elsevier in its journal Games and Economic Behavior.

Volume (Year): 64 (2008)
Issue (Month): 2 (November)
Pages: 591-611
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Handle: RePEc:eee:gamebe:v:64:y:2008:i:2:p:591-611

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Web page: http://www.elsevier.com/locate/inca/622836

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Related research
Keywords: Public goods Gregarious preferences Subgame perfect implementation;

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  1. D. Berga & G. Bergantiños & J. Massó & A. Neme, 2006. "On Exiting After Voting," International Journal of Game Theory, Springer, vol. 34(1), pages 33-54, April. [Downloadable!] (restricted)
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  2. Jackson, M.O.Matthew O. & Nicolo, Antonio, 2004. "The strategy-proof provision of public goods under congestion and crowding preferences," Journal of Economic Theory, Elsevier, vol. 115(2), pages 278-308, April. [Downloadable!] (restricted)
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  3. Moore, John & Repullo, Rafael, 1988. "Subgame Perfect Implementation," Econometrica, Econometric Society, vol. 56(5), pages 1191-1220, September. [Downloadable!] (restricted)
  4. Vartiainen, Hannu, 2007. "Subgame perfect implementation: A full characterization," Journal of Economic Theory, Elsevier, vol. 133(1), pages 111-126, March. [Downloadable!] (restricted)
  5. Bag, Parimal Kanti & Winter, Eyal, 1999. "Simple Subscription Mechanisms for Excludable Public Goods," Journal of Economic Theory, Elsevier, vol. 87(1), pages 72-94, July. [Downloadable!] (restricted)
  6. Anna Bogomolnaia & Antonio Nicolo, 2005. "Stable Assignment of Public Facilities under Congestion," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 7(1), pages 65-91, 02. [Downloadable!] (restricted)
  7. Matthew O. Jackson, 2001. "A crash course in implementation theory," Social Choice and Welfare, Springer, vol. 18(4), pages 655-708. [Downloadable!] (restricted)
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  8. M. Sanver, 2006. "Nash implementing non-monotonic social choice rules by awards," Economic Theory, Springer, vol. 28(2), pages 453-460, 06. [Downloadable!] (restricted)
  9. Hannu Vartiainen, 2007. "Subgame perfect implementation of voting rules via randomized mechanisms," Social Choice and Welfare, Springer, vol. 29(3), pages 353-367, October. [Downloadable!] (restricted)
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