Strong equilibrium implementation for a principal with heterogeneous agents
The author models the interaction between the “Center”, represented by inspectors, and free riders in local trains (“hares” in the Russian slang). In order to characterize the optimal deterring strategy of the Center, one must look into the nature the interaction among parties in this game. After accomplishing this task, the author considers a more general class of phenomena that are intimately related to the one just described. Such phenomena will be analyzed in the framework of a “Center-offenders” model (a special case of the “Crime and Punishment” problem). The appropriate solution concept may be called a “natural Stackelberg solution”.
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| Length: | 46 pages |
| Date of creation: | 03 Apr 2003 |
| Date of revision: | |
| Handle: | RePEc:eer:wpalle:00-103e |
| Contact details of provider: | Postal: EERC Research Network, Russia and CIS, 92/94, Dmytrivska Str., suite 404, Kyiv, 01135 Ukraine Phone: +38(044)492-8012 Fax: +1(202)478-1968 Web page: http://www.eercnetwork.com
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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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- Malcomson, James M, 1984. "Work Incentives, Hierarchy, and Internal Labor Markets," Journal of Political Economy, University of Chicago Press, vol. 92(3), pages 486-507, June.
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