Nash-Cournot or Lindahl Behavior?: An Empirical Test for the NATO Allies

S-Tier
Journal: Quarterly Journal of Economics
Year: 1990
Volume: 105
Issue: 4
Pages: 875-894

Authors (2)

Todd Sandler (University of Texas-Dallas) James C. Murdoch (not in RePEc)

Score contribution per author:

4.022 = (α=2.01 / 2 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper derives systems of demand equations for distinguishing between Nash-Cournot and Lindahl behavior in a group that either shares a pure public good or an activity that provides a private and a pure public joint product. Systems of simultaneous equations are estimated based upon Nash-Cournot and Lindahl behavior for a sample of ten NATO allies for the 1956–1987 period. Nonnested hypothesis tests support the Nash-Cournot specification for five of the ten sample allies. No evidence of Lindahl behavior is found. The Nash-Cournot joint-product specification outperforms the pure public model for all sample allies.

Technical Details

RePEc Handle
repec:oup:qjecon:v:105:y:1990:i:4:p:875-894.
Journal Field
General
Author Count
2
Added to Database
2026-01-29