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A gibbad-satterthwaite theorem for public good economies

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  • Moscoso, María José

Abstract

We study the properties of mechanisms for deciding upon the provision of public goods when the feasible set is exogenously given (by financial and/or technological constraints), and individuals' preferences are represented by continuous, increasing and concave utility functions, and we establish a result analog to the Gibbard-Satterthwaite Theorem: strategy-proof mechanisms are dictatorial. Further, efficient and strategy-proof mechanisms are strongly dictatorial (i.e., maximize the dictator's welfare on the entire feasible set.)

Suggested Citation

  • Moscoso, María José, 2001. "A gibbad-satterthwaite theorem for public good economies," UC3M Working papers. Economics we014912, Universidad Carlos III de Madrid. Departamento de Economía.
    • Handle: RePEc:cte:werepe:we014912
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    1. H. Moulin, 1980. "On strategy-proofness and single peakedness," Public Choice, Springer, vol. 35(4), pages 437-455, January.
    2. 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.
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    6. Lin Zhou, 1991. "Impossibility of Strategy-Proof Mechanisms in Economies with Pure Public Goods," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 58(1), pages 107-119.
    7. Diego Moreno, 1999. "Strategy-proof allocation mechanisms for pure public goods economies when preferences are monotonic," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 13(1), pages 183-197.
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