English, Article, Journal or magazine article edition: An Efficiency Rationale for Bundling of Public Goods Fang, Hanming; Norman, Peter

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Bookmark: http://trove.nla.gov.au/version/39953
Physical Description
  • preprint
Language
  • English

Edition details

Title
  • An Efficiency Rationale for Bundling of Public Goods
Author
  • Fang, Hanming
  • Norman, Peter
Physical Description
  • preprint
Notes
  • This paper studies the optimal provision mechanism for multiple excludable public goods when agents\' valuations are private information. For a parametric class of problems with binary valuations, we characterize the optimal mechanism, and show that it involves bundling. Bundling alleviates the free riding problem in large economies in two ways: first, it can increase the asymptotic provision probability of socially efficient public goods from zero to one; second, it decreases the extent of use exclusions.
  • Bundling, Public Good Provision, Exclusion
  • RePEc:ubc:pmicro:norman-04-11-21-09-39-13
Language
  • English
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