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Public Provision of Private Goods

Author

Listed:
  • Peter Norman
  • Hanming Fang

Abstract

We consider an environment with asymmetric information about preferences for a public good and a private good. If the public good must be financed from contributions made by participants and if participants must be given incentives to participate in the mechanism, we show that there are circumstances when the private good should be bundled with the public good, in spite of the. We interpret this as an efficiency rationale for public provision of private goods

Suggested Citation

  • Peter Norman & Hanming Fang, 2004. "Public Provision of Private Goods," 2004 Meeting Papers 138, Society for Economic Dynamics.
    • Handle: RePEc:red:sed004:138
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    Citations

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    Cited by:

    1. Hellwig, Martin F., 2007. "The provision and pricing of excludable public goods: Ramsey-Boiteux pricing versus bundling," Journal of Public Economics, Elsevier, vol. 91(3-4), pages 511-540, April.

    More about this item

    Keywords

    Public Goods; Bundling; Efficiency;
    All these keywords.

    JEL classification:

    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods

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