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A Game-Theoretic Model of Endogenous Public Policies

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  • John C. Beghin

Abstract

Public policies are the equilibrium outcome of a cooperative game among interest groups and the policy maker. This study stresses the interdependence between policies and players' bargaining strengths and derives their comparative statics with respect to a changing economic environment. It also provides a specification of behavioral equations consistent with the underlying bargaining process. An analysis of the political economy of food and agricultural price policies in Senegal illustrates the proposed framework.

Suggested Citation

  • John C. Beghin, 1990. "A Game-Theoretic Model of Endogenous Public Policies," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 72(1), pages 138-148.
    • Handle: RePEc:oup:ajagec:v:72:y:1990:i:1:p:138-148.
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    File URL: http://hdl.handle.net/10.2307/1243153
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    1. John C. Beghin & William E. Foster & Mylene Kherallah, 1996. "Institutions And Market Distortions: International Evidence For Tobacco," Journal of Agricultural Economics, Wiley Blackwell, vol. 47(1‐4), pages 355-365, January.
    2. Zusman, Pinhas, 1990. "Political-Econometrics: The Quantitative Investigation of a Political-Economy," CUDARE Working Papers 198570, University of California, Berkeley, Department of Agricultural and Resource Economics.
    3. Marchant, Mary A. & Neff, Steven A. & Xiao, Mei, 1997. "Political Economy of United States and European Union Dairy Policy Choice," 1997 Occasional Paper Series No. 7 198045, International Association of Agricultural Economists.
    4. Johnson, R.W.M., 1995. "Modelling Government Processes and Policies in Agriculture: A Review," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 63(03), pages 1-11, December.
    5. Bullock, David S., 2005. "Should We Expect Government Policy to Be Pareto Efficient?: The Consequences of an Arrow-Debreu Economy with Violable Property Rights," 2005 Annual meeting, July 24-27, Providence, RI 19444, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Thilo Glebe & Klaus Salhofer, 2007. "EU agri‐environmental programs and the “restaurant table effect”," Agricultural Economics, International Association of Agricultural Economists, vol. 37(2‐3), pages 211-218, September.
    7. Francois, Joseph & Nelson, Douglas R., 2014. "Political support for trade policy in the European Union," European Journal of Political Economy, Elsevier, vol. 36(C), pages 243-253.
    8. Sahrbacher, Amanda, 2012. "Impacts of CAP reforms on farm structures and performance disparities: An agent-based approach," Studies on the Agricultural and Food Sector in Transition Economies, Leibniz Institute of Agricultural Development in Transition Economies (IAMO), volume 65, number 65.
    9. Fertő, Imre, 1998. "Az agrárpolitika politikai gazdaságtana I. A kormányzati politikák modellezése a mezőgazdaságban [The political economy of agrarian politics. Part I. Modeling of governmental policies in agricultur," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(3), pages 223-246.
    10. Haney, T.J. & Ewaschuk, E. & Phillips, W.E. & Adamowicz, Wiktor L., 1991. "Retention and Development of Wildlife on Private Lands: an Annotated Bibliography," Staff Paper Series 232496, University of Alberta, Department of Resource Economics and Environmental Sociology.
    11. Loehman, Edna & Dinar, Ariel, 1992. "Cooperative Technology Solutions to Externality Problems: The Case of Irrigation Water," Working Papers 232418, University of California, Davis, Department of Agricultural and Resource Economics.
    12. Johnson, Robin W., 2000. "The Role of Institutions in Policy Formation and Delivery," 2000 Conference, August 13-18, 2000, Berlin, Germany 197206, International Association of Agricultural Economists.
    13. Potters, Jan & Sloof, Randolph, 1996. "Interest groups: A survey of empirical models that try to assess their influence," European Journal of Political Economy, Elsevier, vol. 12(3), pages 403-442, November.

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