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Edgeworth and Lindahl-Foley equilibria of a general equilibrium model with private provision of pure public goods

Author

Listed:
  • Monique Florenzano

    () (CERMSEM)

  • Elena Laureana Del Mercato

    () (Università degli Studi di Salerno)

Abstract

In this paper, we propose a definition of Edgeworth equilibrium for a private ownership production economy with possibly infinitely many private goods and a finite number of pure public goods. We show that Edgeworth equilibria exist and can be decentralized as Lindahl-Foley equilibria, whatever be the dimension of the private goods space. Existence theorems for Lindahl-Foley equilibria are a by-product of our results.

Suggested Citation

  • Monique Florenzano & Elena Laureana Del Mercato, 2004. "Edgeworth and Lindahl-Foley equilibria of a general equilibrium model with private provision of pure public goods," Cahiers de la Maison des Sciences Economiques b04082, Université Panthéon-Sorbonne (Paris 1).
  • Handle: RePEc:mse:wpsorb:b04082
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    References listed on IDEAS

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    1. De Simone, Anna & Graziano, Maria Gabriella, 2004. "The pure theory of public goods: the case of many commodities," Journal of Mathematical Economics, Elsevier, vol. 40(7), pages 847-868, November.
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    Citations

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    Cited by:

    1. Marakulin, V.M., 2013. "On the Edgeworth conjecture for production economies with public goods: A contract-based approach," Journal of Mathematical Economics, Elsevier, vol. 49(3), pages 189-200.
    2. Nizar Allouch, 2010. "A Core-Equilibrium Convergence in a Public Goods Economy," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 12(4), pages 857-870, August.
    3. Giebe, Thomas & Schweinzer, Paul, 2014. "Consuming your way to efficiency: Public goods provision through non-distortionary tax lotteries," European Journal of Political Economy, Elsevier, vol. 36(C), pages 1-12.
    4. Nizar Allouch, 2013. "A competitive equilibrium for a warm-glow economy," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 53(1), pages 269-282, May.
    5. Camelia Bejan & Florin Bidian, 2012. "Ownership structure and efficiency in large economies," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 50(3), pages 571-602, August.
    6. Nizar Allouch, 2009. "A Core-equilibrium Convergence in an Economy with Public Goods," Working Papers 642, Queen Mary University of London, School of Economics and Finance.
    7. Francesco Ruscitti, 2013. "Provision of a discrete public good with infinitely-many commodities," Economics Bulletin, AccessEcon, vol. 33(1), pages 28-34.
    8. Monique Florenzano, 2009. "Walras-Lindahl-Wicksell: What equilibrium concept for public goods provision," Working Papers halshs-00531434, HAL.

    More about this item

    Keywords

    Production economy; public goods; Edgeworth equilibrium; Lindhal equilibrium; proper economy.;

    JEL classification:

    • D46 - Microeconomics - - Market Structure, Pricing, and Design - - - Value Theory
    • D51 - Microeconomics - - General Equilibrium and Disequilibrium - - - Exchange and Production Economies
    • H21 - Public Economics - - Taxation, Subsidies, and Revenue - - - Efficiency; Optimal Taxation
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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