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The private provision of excludable public goods: An inefficiency result

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  • Ellingsen, Tore
  • Paltseva, Elena

Abstract

Does voluntary contracting suffice for the efficient provision of excludable public goods? Even in a complete information environment, we find that the answer is negative. The reason is that some agents may profit from not participating at the provision stage, but instead negotiate access ex post.

Suggested Citation

  • Ellingsen, Tore & Paltseva, Elena, 2012. "The private provision of excludable public goods: An inefficiency result," Journal of Public Economics, Elsevier, vol. 96(9-10), pages 658-669.
    • Handle: RePEc:eee:pubeco:v:96:y:2012:i:9:p:658-669
    DOI: 10.1016/j.jpubeco.2012.05.010
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    6. Akira Okada, 2018. "Non-cooperative Bargaining for Side Payments Contract," KIER Working Papers 983, Kyoto University, Institute of Economic Research.

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