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The Private Provision of Public Goods via Dominant Assurance Contracts

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Author Info
 Tabarrok, Alexander

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Abstract

Many types of public goods can be produced privately by profit-seeking entrepreneurs using a modified form of assurance contract, called a dominant assurance contract. The author models the dominant assurance contract as a game and shows that the pure strategy equilibrium has agents contributing to the public good as a dominant strategy. The game is also modeled under incomplete information as a Bayesian-Nash game. Copyright 1998 by Kluwer Academic Publishers

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Publisher Info
Article provided by Springer in its journal Public Choice.

Volume (Year): 96 (1998)
Issue (Month): 3-4 (September)
Pages: 345-62
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Handle: RePEc:kap:pubcho:v:96:y:1998:i:3-4:p:345-62

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