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Redistribution systems theory as a key to reality decoding


  • Petr Budinsky

    () (University of Finance and Administration)

  • Radim Valencik

    () (University of Finance and Administration)


The contribution resumes the article called Nash Equilibrium in Redistribution Systems (Calculation, significance, use), published in the magazine ACTA 1/2008. It is based on some general methodological questions of theory development that use mathematical apparatus, where finding an appropriate reality simplification plays an important role. The article then applies these bases to the problem area of redistribution systems theory, which is one of the game variants. It specifies more the expression of discrimination equilibriums and Nash equilibrium, presents the original scheme that enables visualisation of these equilibrium types, extends the model of the elementary redistribution system by considering some influences on the redistribution system. Specifically, these are competition and inter-organisational migration effects; possibility of mutual bribery of players (investing into the position); influence of players from one redistribution system on forming alliances in another system; influence of links between redistribution systems on the negotiation process inside each of them.

Suggested Citation

  • Petr Budinsky & Radim Valencik, 2008. "Redistribution systems theory as a key to reality decoding," ACTA VSFS, University of Finance and Administration, vol. 2(2), pages 158-175.
  • Handle: RePEc:prf:journl:v:2:y:2008:i:2:p:158-175

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    References listed on IDEAS

    1. European Commission, 2007. "Taxation trends in the European Union: 2007 edition," Taxation trends 2007, Directorate General Taxation and Customs Union, European Commission.
    2. European Commission, 2011. "Taxation trends in the European Union: 2011 edition," Taxation trends 2011, Directorate General Taxation and Customs Union, European Commission.
    3. European Commission, 2013. "Taxation trends in the European Union: 2013 edition," Taxation trends 2013, Directorate General Taxation and Customs Union, European Commission.
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    More about this item


    Theory of games; redistribution systems theory; Pareto optimum; Nash equilibrium; competition; inter-organisational migration; coalition; negotiation;

    JEL classification:

    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • D33 - Microeconomics - - Distribution - - - Factor Income Distribution
    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions


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