Inequality and Inefficiency in Joint Projects
AbstractA group of agents voluntarily participates in a joint project, in which efforts are not perfectly substitutable. The output is divided according to some given vector of shares. A share vector is unimprovable if no other share vector yields a higher sum of payoffs. When the elasticity of substitution across efforts is two or lower, only the perfectly equal share vector is unimprovable, and all other vectors can be improved via Lorenz domination. For higher elasticities of substitution, perfect equality is no longer unimprovable. Our results throw light on the connections between inequality and collective action.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by HAL in its series Post-Print with number halshs-00160753.
Date of creation: Jul 2007
Date of revision:
Publication status: Published, The Economic Journal, 2007, 117, 522, 922-935
Note: View the original document on HAL open archive server: http://halshs.archives-ouvertes.fr/halshs-00160753/en/
Contact details of provider:
Web page: http://hal.archives-ouvertes.fr/
Inequality; Collective Action; Substitutability;
Other versions of this item:
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Baland, Jean-Marie & Platteau, Jean-Philippe, 1997. "Wealth Inequality and Efficiency in the Commons: Part I: The Unregulated Case," Oxford Economic Papers, Oxford University Press, vol. 49(4), pages 451-82, October.
- Nandeibam, Shasikanta, 2002. "Sharing Rules in Teams," Journal of Economic Theory, Elsevier, vol. 107(2), pages 407-420, December.
- Warr, Peter G., 1983. "The private provision of a public good is independent of the distribution of income," Economics Letters, Elsevier, vol. 13(2-3), pages 207-211.
- Bliss, Christopher & Nalebuff, Barry, 1984. "Dragon-slaying and ballroom dancing: The private supply of a public good," Journal of Public Economics, Elsevier, vol. 25(1-2), pages 1-12, November.
- Patrick Legros & Steven Matthews, 1993.
"Efficient and nearly efficient partnerships,"
ULB Institutional Repository
2013/7040, ULB -- Universite Libre de Bruxelles.
- Dayton-Johnson, Jeff, 2000. "Determinants of collective action on the local commons: a model with evidence from Mexico," Journal of Development Economics, Elsevier, vol. 62(1), pages 181-208, June.
- Patrick Legros & Hitoshi Matsushima, 1991.
"Efficiency in partnerships,"
ULB Institutional Repository
2013/7044, ULB -- Universite Libre de Bruxelles.
- Esteban, J. & Ray, D., 1999. "Collective Action and Group Size Paradox," Papers 23, El Instituto de Estudios Economicos de Galicia Pedro Barrie de la Maza.
- Bardhan, Pranab, 2000. "Irrigation and Cooperation: An Empirical Analysis of 48 Irrigation Communities in South India," Economic Development and Cultural Change, University of Chicago Press, vol. 48(4), pages 847-65, July.
- Sandler, Todd & Forbes, John F, 1980. "Burden Sharing, Strategy, and the Design of NATO," Economic Inquiry, Western Economic Association International, vol. 18(3), pages 425-44, July.
- Ray, Debraj & Ueda, Kaoru, 1996.
"Egalitarianism and Incentives,"
Journal of Economic Theory,
Elsevier, vol. 71(2), pages 324-348, November.
- Debraj Ray & Kaoru Ueda, 1996. "Egalitarianism and Incentives," Boston University - Institute for Economic Development 73, Boston University, Institute for Economic Development.
- Bergstrom, Theodore & Blume, Lawrence & Varian, Hal, 1986. "On the private provision of public goods," Journal of Public Economics, Elsevier, vol. 29(1), pages 25-49, February.
- Cornes, Richard, 1993. "Dyke Maintenance and Other Stories: Some Neglected Types of Public Goods," The Quarterly Journal of Economics, MIT Press, vol. 108(1), pages 259-71, February.
- Baland, Jean-Marie & Platteau, Jean-Philippe, 2003. "Economics of common property management regimes," Handbook of Environmental Economics, in: K. G. Mäler & J. R. Vincent (ed.), Handbook of Environmental Economics, edition 1, volume 1, chapter 4, pages 127-190 Elsevier.
- Uler, Neslihan, 2009. "Public goods provision and redistributive taxation," Journal of Public Economics, Elsevier, vol. 93(3-4), pages 440-453, April.
- Kolmar, Martin & Rommeswinkel, Hendrik, 2013. "Contests with group-specific public goods and complementarities in efforts," Journal of Economic Behavior & Organization, Elsevier, vol. 89(C), pages 9-22.
- L. Bagnoli & G. Negroni, 2008. "The emergence of norms of cooperation in stag hunt games with production," Working Papers 626, Dipartimento Scienze Economiche, Universita' di Bologna.
- Olivier Dagnelie, 2008.
"Inequality and a Repeated Joint Project,"
344, Barcelona Graduate School of Economics.
- Johannes Münster, 2009. "Group contest success functions," Economic Theory, Springer, vol. 41(2), pages 345-357, November.
- Alberto Alesina & Eliana La Ferrara, 2004.
"Ethnic Diversity and Economic Performance,"
NBER Working Papers
10313, National Bureau of Economic Research, Inc.
- Alberto Alesina & Eliana La Ferrara, 2004. "Ethnic Diversity and Economic Performance," Development Working Papers 193, Centro Studi Luca d\'Agliano, University of Milano.
- Alberto Alesina & Eliana La Ferrara, 2003. "Ethnic Diversity and Economic Performance," Harvard Institute of Economic Research Working Papers 2028, Harvard - Institute of Economic Research.
- Martin Gregor & Lenka Stastna, 2012.
"The decentralization tradeoff for complementary spillovers,"
Review of Economic Design,
Springer, vol. 16(1), pages 41-69, March.
- Martin Gregor & Lenka Šastná, 2011. "The Decentralization Tradeoff for Complementary Spillovers," Working Papers IES 2011/13, Charles University Prague, Faculty of Social Sciences, Institute of Economic Studies, revised Apr 2011.
- Münster, Johannes, 2008. "Group contest success functions," Discussion Papers, Research Unit: Market Processes and Governance SP II 2008-20, Social Science Research Center Berlin (WZB).
- Martin Gregor, 2011. "Tradeoffs of foreign assistance for the weakest-link global public goods," International Tax and Public Finance, Springer, vol. 18(2), pages 233-251, April.
- Alesina, Alberto & La Ferrara, Eliana, 2005. "Ethnic Diversity and Economic Performance," Scholarly Articles 4553005, Harvard University Department of Economics.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (CCSD).
If references are entirely missing, you can add them using this form.