The provision point mechanism with refund bonuses

A-Tier
Journal: Journal of Public Economics
Year: 2014
Volume: 120
Issue: C
Pages: 231-234

Score contribution per author:

4.022 = (α=2.01 / 1 authors) × 2.0x A-tier

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

Abstract

We introduce refund bonuses into the provision point mechanism. If a total contribution is less than the provision point, each contributor receives not only his contribution refunded but also a refund bonus the size of which is proportional to the contribution made. However, because of competition for refund bonuses the provision point is reached in equilibrium. Furthermore, the mechanism can uniquely implement the public good project with Lindahl prices. The mechanism also has other applications.

Technical Details

RePEc Handle
repec:eee:pubeco:v:120:y:2014:i:c:p:231-234
Journal Field
Public
Author Count
1
Added to Database
2026-01-29