Econometrica Vol. 50 No. 2 1982
Strategic Behavior in Decentralized Planning Procedures
Abstract
Noncooperative strategic behaviors are studied in the Malinvaud-Dreze-de la Vallee Poussin decentralized planning procedure. We depart from the assumption of myopic behavior by assuming that every agent takes into account the effect over a given period of time [0, T] of his answers to the Center. One shows that, for T large, every Nash equilibrium of the ensuing game in intertemporal strategies approaches: (i) a competitive equilibrium in an exchange economy, and (ii) a Lindahl equilibrium in an economy with public goods. Thus, the Center loses any significant influence on the income distribution.
- DOI
- 10.2307/1912632
- Volume
- 50
- Issue
- 2
- Pages
- 325
- Sources
- bibtex:phds-export.bib openalex crossref