Providing global public goods under uncertainty

A-Tier
Journal: Journal of Public Economics
Year: 2010
Volume: 94
Issue: 9-10
Pages: 591-603

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

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

Abstract

We study how uncertainty and risk aversion affect international agreements to supply global public goods. We consider a benchmark model with homogeneous countries and linear payoffs. When countries directly contribute to a public good, uncertainty tends to lower signatories' efforts but may increase participation. Despite risk aversion, uncertainty may improve welfare. In contrast, when countries try to reduce a global public bad, uncertainty tends to increase signatories' efforts and decrease participation. In that case, an ex-ante reduction of uncertainty may have a large positive multiplier effect on welfare.

Technical Details

RePEc Handle
repec:eee:pubeco:v:94:y:2010:i:9-10:p:591-603
Journal Field
Public
Author Count
2
Added to Database
2026-01-24