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Private provision of discrete public goods

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Author Info
Makris, Miltiadis

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Abstract

We investigate private provision of discrete public goods under refund and cost-sharing. If it is commonly believed that individuals may be warm-glow altruists and the group-size is a Poisson random variable, then the equilibrium distribution of collected contributions is uniquely determined. If composition uncertainty is very small and the expected group-size sufficiently large, the distribution of contributions can be described by concentrating in a symmetric mixed-strategy equilibrium. As the expected group-size increases, the probability a randomly selected player contributes and the associated expected number of contributions converge to the corresponding ones in the symmetric mixed-strategy equilibrium of the game with no uncertainty.

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File URL: http://www.sciencedirect.com/science/article/B6WFW-4V17CRN-1/2/8544dbd73f78b73f43824f3e58310084
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Publisher Info
Article provided by Elsevier in its journal Games and Economic Behavior.

Volume (Year): 67 (2009)
Issue (Month): 1 (September)
Pages: 292-299
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Handle: RePEc:eee:gamebe:v:67:y:2009:i:1:p:292-299

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

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Related research
Keywords: Discrete public goods Warm-glow altruism Poisson games;

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This page was last updated on 2009-12-3.


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