Existence, Uniqueness and Some Comparative Statics for Ratio and Lindahl Equilibria

Date

2008

Authors

Buchholz, Wolfgang
Cornes, Richard
Peters, Wolfgang

Journal Title

Journal ISSN

Volume Title

Publisher

Springer

Abstract

We present a rigorous, yet elementary, demonstration of the existence of a unique Lindahl equilibrium under the assumptions that characterize the standard n-player public good model. Indeed, our approach, which exploits the aggregative structure of the public good model, lends itself to a transparent geometric representation. Moreover, it can handle the more general concept of the cost share or ratio equilibrium. Finally, we indicate how it may be exploited to facilitate comparative static analysis of Lindahl and cost share equilibria.

Description

Keywords

Keywords: Lindahl equilibrium; Public goods; Ratio equilibrium

Citation

Source

Journal of Economics

Type

Journal article

Book Title

Entity type

Access Statement

License Rights

DOI

10.1007/s00712-008-0024-0

Restricted until

2037-12-31