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The role of aggregation technologies in the provision of supranational public goods: A reconsideration of NATO’s strategies

Author Info

Listed author(s):
  • Ghislain Dutheil de la Rochère

    ()

  • Jean-Michel Josselin

    ()

  • Yvon Rocaboy

    ()

Abstract

Voluntary contributions to the provision of public goods do not necessarily follow a summation aggregation technology. The article investigates the alternative best-shot aggregation process and provides the corresponding Nash equilibrium conditions for allies in the context of joint products in a supranational alliance. The application deals with NATO over the period 1955-2006 and evidences new breakpoints and aggregation technology assessments, which leads to a reconsideration of the alliance's strategy. We find that a best-shot technology prevails from 1955 to 1970. Afterwards, summation of contributions becomes the aggregation technology of the alliance, with increased strategic behavior after 1990.

(This abstract was borrowed from another version of this item.)

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File URL: http://hdl.handle.net/10.1007/s11558-010-9098-x
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Article provided by Springer in its journal The Review of International Organizations.

Volume (Year): 6 (2011)
Issue (Month): 1 (March)
Pages: 85-103

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Handle: RePEc:spr:revint:v:6:y:2011:i:1:p:85-103
DOI: 10.1007/s11558-010-9098-x
Contact details of provider: Web page: http://www.springer.com

Order Information: Web: http://www.springer.com/business/sociology/journal/11558

Keywords: Supranational public goods; International organizations; Aggregation of contributions; Best-shot; NATO; D74; H41; H56; H87;

Other versions of this item:

Find related papers by JEL classification:
  • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
  • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
  • H56 - Public Economics - - National Government Expenditures and Related Policies - - - National Security and War
  • H87 - Public Economics - - Miscellaneous Issues - - - International Fiscal Issues; International Public Goods

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  1. Sandler,Todd & Hartley,Keith, 1999. "The Political Economy of NATO," Cambridge Books, Cambridge University Press, number 9780521630931, February.
  2. Richard Cornes, 1993. "Dyke Maintenance and Other Stories: Some Neglected Types of Public Goods," The Quarterly Journal of Economics, Oxford University Press, vol. 108(1), pages 259-271.
  3. Xu, Xiaopeng, 2001. "Group size and the private supply of a best-shot public good," European Journal of Political Economy, Elsevier, vol. 17(4), pages 897-904, November.
  4. Cornes, Richard & Hartley, Roger, 2007. "Weak links, good shots and other public good games: Building on BBV," Journal of Public Economics, Elsevier, vol. 91(9), pages 1684-1707, September.
  5. 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.
  6. Sandler, Todd, 1977. "Impurity of Defense: An Application to the Economics of Alliances," Kyklos, Wiley Blackwell, vol. 30(3), pages 443-460.
  7. M. Hashem Pesaran, 2007. "A simple panel unit root test in the presence of cross-section dependence," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 22(2), pages 265-312.
  8. 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.
  9. Keith Hartley & Todd Sandler, 2001. "Economics of Alliances: The Lessons for Collective Action," Journal of Economic Literature, American Economic Association, vol. 39(3), pages 869-896, September.
  10. Cornes, Richard & Sandler, Todd, 1984. "Easy Riders, Joint Production, and Public Goods," Economic Journal, Royal Economic Society, vol. 94(375), pages 580-598, September.
  11. Smith, R P, 1989. "Models of Military Expenditure," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 4(4), pages 345-359, Oct.-Dec..
  12. J. Hirshleifer, 1985. "From weakest-link to best-shot: Correction," Public Choice, Springer, vol. 46(2), pages 221-223, January.
  13. Todd Sandler, 2006. "Regional public goods and international organizations," The Review of International Organizations, Springer, vol. 1(1), pages 5-25, March.
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Cited by:

  1. Ghislain Dutheil de la Rochère & Jean-Michel Josselin & Yvon Rocaboy, 2014. "SDI, NATO, and the Social Composition Function," Defence and Peace Economics, Taylor & Francis Journals, vol. 25(2), pages 85-95, April.
  2. Le Maux, Benoit & Rocaboy, Yvon, 2012. "A simple microfoundation for the utilization of fragmentation indexes to measure the performance of a team," Economics Letters, Elsevier, vol. 116(3), pages 491-493.

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