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Impossibility of Strategy-Proof Mechanisms in Economies with Pure Public Goods

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  • Lin Zhou

Abstract

This paper investigates the structures of strategy-proof mechanisms in general models of economies with pure public goods. Under the assumptions that the set of allocations is a subset of some finite-dimensional Euclidean space and that the admissible preferencees are continuous and convex, I establish that any strategy-proof mechanism is dictatorial whenever the decision problem is of more than one dimension. Furthermore, I establish a similar result when preference relations also satisfy the additional assumption of monotonicity. These results properly extend the Gibbard-Satterthwaite theorem to economies with pure public goods.

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  • Lin Zhou, 1991. "Impossibility of Strategy-Proof Mechanisms in Economies with Pure Public Goods," Review of Economic Studies, Oxford University Press, vol. 58(1), pages 107-119.
  • Handle: RePEc:oup:restud:v:58:y:1991:i:1:p:107-119.
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    File URL: http://hdl.handle.net/10.2307/2298048
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    Cited by:

    1. John Weymark, 2011. "A unified approach to strategy-proofness for single-peaked preferences," SERIEs: Journal of the Spanish Economic Association, Springer;Spanish Economic Association, vol. 2(4), pages 529-550, December.
    2. Massó, Jordi & Moreno de Barreda, Inés, 2011. "On strategy-proofness and symmetric single-peakedness," Games and Economic Behavior, Elsevier, vol. 72(2), pages 467-484, June.
    3. Saporiti, Alejandro, 2009. "Strategy-proofness and single-crossing," Theoretical Economics, Econometric Society.
    4. Dolors Berga & Bernardo Moreno, 2009. "Strategic requirements with indifference: single-peaked versus single-plateaued preferences," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 32(2), pages 275-298, February.
    5. Bordes, G. & Laffond, G. & Le Breton, Michel, 2012. "Euclidean Preferences, Option Sets and Strategy Proofness," TSE Working Papers 12-302, Toulouse School of Economics (TSE).
    6. Hans Peters & Souvik Roy & Ton Storcken, 2011. "Strategy-proof voting rules on a multidimensional policy space for a continuum of voters with elliptic preferences," SERIEs: Journal of the Spanish Economic Association, Springer;Spanish Economic Association, vol. 2(4), pages 485-496, December.
    7. Schummer, James & Vohra, Rakesh V., 2002. "Strategy-proof Location on a Network," Journal of Economic Theory, Elsevier, vol. 104(2), pages 405-428, June.
    8. Bochet Olivier & Storcken Ton, 2006. "Maximal Domains for Strategy-Proof or Maskin Monotonic Choice Rules," Research Memorandum 002, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
    9. Georges Bordes & Gilbert Laffond & Michel Le Breton, 2011. "Euclidean preferences, option sets and strategyproofness," SERIEs: Journal of the Spanish Economic Association, Springer;Spanish Economic Association, vol. 2(4), pages 469-483, December.
    10. Keiding, Hans & Peleg, Bezalel, 2001. "Stable voting procedures for committees in economic environments," Journal of Mathematical Economics, Elsevier, vol. 36(2), pages 117-140, November.
    11. Ehlers, Lars & Peters, Hans & Storcken, Ton, 2004. "Threshold strategy-proofness: on manipulability in large voting problems," Games and Economic Behavior, Elsevier, pages 103-116.
    12. Pablo Amorós, 2002. "Single-peaked preferences with several commodities," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 19(1), pages 57-67.
    13. Tayfun Sönmez, 1994. "Strategy-proofness in many-to-one matching problems," Review of Economic Design, Springer;Society for Economic Design, vol. 1(1), pages 365-380, December.
    14. Stefan Maus & Hans Peters & Ton Storcken, 2006. "Strategy-proof voting for single issues and cabinets," Public Choice, Springer, vol. 126(1), pages 27-43, January.
    15. Dutta, Bhaskar & Peters, Hans & Sen, Arunava, 2002. "Strategy-Proof Probabilistic Mechanisms in Economies with Pure Public Goods," Journal of Economic Theory, Elsevier, vol. 106(2), pages 392-416, October.
    16. Salvador Barbera & Matthew Jackson, 1991. "A Characterization of Strategy-Proof Social Choice Functions for Economies with Pure Public Goods," Discussion Papers 964, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
    17. Michel Breton & Vera Zaporozhets, 2009. "On the equivalence of coalitional and individual strategy-proofness properties," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 33(2), pages 287-309, August.
    18. Schummer, James, 2000. "Eliciting Preferences to Assign Positions and Compensation," Games and Economic Behavior, Elsevier, vol. 30(2), pages 293-318, February.
    19. Berga, Dolors, 1998. "Strategy-proofness and single-plateaued preferences," Mathematical Social Sciences, Elsevier, vol. 35(2), pages 105-120, March.
    20. Healy, Paul J. & Mathevet, Laurent, 2012. "Designing stable mechanisms for economic environments," Theoretical Economics, Econometric Society, vol. 7(3), September.
    21. Bordes, G. & Laffond, G. & Le Breton, Michel, 2012. "Euclidean Preferences, Option Sets and Strategy Proofness," IDEI Working Papers 717, Institut d'Économie Industrielle (IDEI), Toulouse.
    22. Alejandro Saporiti, 2006. "Strategic voting on single-crossing domains," The School of Economics Discussion Paper Series 0617, Economics, The University of Manchester.
    23. Le Breton, Michel & Weymark, John A., 1999. "Strategy-proof social choice with continuous separable preferences," Journal of Mathematical Economics, Elsevier, vol. 32(1), pages 47-85, August.

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