Competing for Recognition through Public Good Provision

Mattias K Polborn

The B.E. Journal of Theoretical Economics, 2008, vol. 8, issue 1, 25

Abstract: We consider a setting in which several groups of individuals with common interests (``clubs") compete with each other for recognition by other individuals. Depending on the context, recognition may be expressed by these other individuals joining a club, or choosing one club to admire. Clubs compete by providing a public good. Competition between clubs increases the public good provision level, and a sufficiently strong competition effect may even lead to overprovision. The model thus limits the argument for subsidies to the private providers of public goods. We discuss implications of the model for open-source software projects, university fundraising and infrastructure competition between cities.

Keywords: public goods; private provision; clubs; competition (search for similar items in EconPapers)
Date: 2008
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Citations: View citations in EconPapers (3)

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Working Paper: Competing for Recognition through Public Good Provision (2007)
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DOI: 10.2202/1935-1704.1470

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