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Leadership in Collective Action

  • Joan Esteban
  • Esther Hauk

We extend the model of collective action in which groups compete for a budged by endogenizing the group platform, namely the specific mixture of public/private good and the distribution of the private good to group members which can be uniform or performance-based. While the group-optimal platform contains a degree of publicness that increases in group size and divides the private benefits uniformly, a success-maximizing leader uses incentives and distorts the platform towards more private benefits - a distortion that increases with group size. In both settings we obtain the anti-Olson type result that win probability increases with group size.

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File URL: http://research.barcelonagse.eu/tmp/working_papers/362.pdf
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Paper provided by Barcelona Graduate School of Economics in its series Working Papers with number 362.

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Date of creation: Mar 2009
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Handle: RePEc:bge:wpaper:362
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  1. Vincent Anesi, 2007. "Moral Hazard and Free Riding in Collective Action," Discussion Papers 2007-04, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham.
  2. David Masclet & Charles Noussair & Steven Tucker & Marie-Claire Villeval, 2003. "Monetary and non Monetary Punishment in the Voluntary Contributions Mechanism," Post-Print halshs-00175251, HAL.
  3. repec:feb:natura:0013 is not listed on IDEAS
  4. Imran Rasul & Iwan Barankay & Orana Bandiera, 2005. "Cooperation in collective action," Natural Field Experiments 00211, The Field Experiments Website.
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