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Factor Endowments and the Private Provision of Public Goods

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  • Simon Vicary

Abstract

The paper examines the consequences of increasing the size of the community in the standard model of the private provision of public goods when costs are variable. In contrast to an economy with fixed costs, the provision of the public good can fall with a larger community, and an increased provision of the public good is neither a necessary nor a sufficient condition for individual utility to rise. The paper also contributes to the literature on immiserizing growth in that it shows that capital accumulation can possibly result in lower utility for all individuals.

Suggested Citation

  • Simon Vicary, 2004. "Factor Endowments and the Private Provision of Public Goods," Bulletin of Economic Research, Wiley Blackwell, vol. 56(2), pages 171-188, April.
    • Handle: RePEc:bla:buecrs:v:56:y:2004:i:2:p:171-188
    DOI: 10.1111/j.1467-8586.2004.00195.x
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    References listed on IDEAS

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    1. Ihori, Toshihiro, 1996. "International public goods and contribution productivity differentials," Journal of Public Economics, Elsevier, vol. 61(1), pages 139-154, July.
    2. Duncan, Brian, 1999. "Modeling charitable contributions of time and money," Journal of Public Economics, Elsevier, vol. 72(2), pages 213-242, May.
    3. Cornes,Richard & Sandler,Todd, 1996. "The Theory of Externalities, Public Goods, and Club Goods," Cambridge Books, Cambridge University Press, number 9780521477185, October.
    4. Ronald W. Jones, 2018. "The Structure of Simple General Equilibrium Models," World Scientific Book Chapters, in: International Trade Theory and Competitive Models Features, Values, and Criticisms, chapter 4, pages 61-84, World Scientific Publishing Co. Pte. Ltd..
    5. Andreoni, James & McGuire, Martin C., 1993. "Identifying the free riders : A simple algorithm for determining who will contribute to a public good," Journal of Public Economics, Elsevier, vol. 51(3), pages 447-454, July.
    6. Ihori, Toshihiro, 1994. "Immiserizing growth with interregional externalities of public goods," Regional Science and Urban Economics, Elsevier, vol. 24(4), pages 485-496, August.
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    Cited by:

    1. Debasis Mondal, 2015. "Private provision of public good and immiserizing growth," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 45(1), pages 29-49, June.
    2. Paul Pecorino, 2009. "Monopolistic Competition, Growth and Public Good Provision," Economic Journal, Royal Economic Society, vol. 119(534), pages 298-307, January.

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