AbstractThis paper proposes a normative theory of constitutional rules. We characterize the set of optimal constitutional rules under different assumptions about the degree of contractual imperfections. Our model explains why constitutions contain different types of rules. In particular, we derive conditions under which it is optimal, in addition to a standard decision rule (e.g., simple majority), to introduce veto rules (that block certain types of decisions) and supermajority rules (that allow the veto rule to be overruled). Our model also explains the existence of amendment rules and checks and balances
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Bibliographic InfoPaper provided by Econometric Society in its series Econometric Society 2004 North American Summer Meetings with number 540.
Date of creation: 11 Aug 2004
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Constitutions; constitutional design; social contracts; majority rules; amendments; checks and balances;
Other versions of this item:
- H10 - Public Economics - - Structure and Scope of Government - - - General
- D70 - Microeconomics - - Analysis of Collective Decision-Making - - - General
- D - Microeconomics
This paper has been announced in the following NEP Reports:
- NEP-ALL-2004-10-30 (All new papers)
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