Why do only the G7+2 countries among United Nations members discuss about international public goods? A simulation study

Tatsuyoshi Miyakoshi and Kenichi Suzuki

Applied Economics, 2017, vol. 49, issue 50, 5134-5143

Abstract: This article investigates why only the Group of 7 plus China and Russia (G7 + 2 countries) among 194 United Nations members discuss about international public goods? By simulating the heterogeneity of income, prices and preference parameters on the total provisions and the number of free riders, we find that the number of contributors for international public goods is 15 under the 194 member countries, while the others are free riders. In addition, the contributors are the top 15 powerful countries with largest dropout value over the world. Then, the discussion with only 15 countries for public goods is meaningful. As large as the heterogeneity of parameters is, the number of contributors becomes closer to G7 + 2.

Date: 2017
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DOI: 10.1080/00036846.2017.1299106

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