Bartering Games in the Kolm Triangle

Matthew Van Essen

Journal of Public Economic Theory, 2015, vol. 17, issue 3, 297-310

Abstract: We study a public good mechanism that possesses several attractive properties. In particular, the mechanism always produces feasible allocations, induces a game where the Nash equilibria are all individually rational, and, in contrast to the voluntary contribution mechanism, supports the Lindahl allocation as a Nash equilibrium allocation. The geometric framework of the Kolm triangle is employed to illustrate the workings of the mechanism and provide intuition for the main results.

Date: 2015
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